Disclaimer: This is not financial or investment advice.

Why Google, Broadcom, Alibaba stocks are up while Nvidia and AMD are down!

Here is the answer – initial read is that Gemini 3 is reportedly faster and performs with deeper reasoning than ChatGPT and is integrated with Google’s family of apps and data. It is also priced at similar levels to rival AI models. But more importantly the fact that Gemini was trained primarily on Google’s TPUs ( Broadcom is TPU’s partner ) as opposed to its rivals’ reliance on Nvidia and AMD chips, is a critical data point. TPUs aren’t as flexible as Nvidia’s GPUs, which can make them less usable in a market where hyperscalers are demanding the ability to reprogram their AI systems.

But TPUs are both cheaper to develop and use less power to run at full capacity. Similar story holds for Alibaba’ Qwen AI model (using their custom less expensive chips). And that fact is spooking the market in favor of pushing $GOOGL $AVGO $BABA and against $NVDA $AMD.

“Some investors are petrified that Alphabet will win the AI war due to huge improvements in its Gemini model and ongoing benefits from its custom TPU chip,” said Ben Reitzes, tech strategist at Melius Research.

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Disclaimer: This is not financial or investment advice.

Key reasons for AMZN lagging the market

$AMZN – Amazon’s stock has been in a bit of a rut lately. Year-to-date, it’s up a modest 4.6%, significantly trailing the S&P 500’s 16.8% gain and most of its “Magnificent Seven” peers. This lack of momentum feels stark, especially after a post-earnings pop in late October. Some context on why the stock is lagging –

1. AI and Infrastructure Capex Overload: The company guided for ~$125 billion in capital expenditures for 2025—up over 40% from prior years—with most tied to AI builds. This has led to a cash crunch: free cash flow plunged in recent quarters, and AWS operating margins dipped to 32.9% in Q2 from 39.5% in Q1 due to higher depreciation, stock-based comp, and forex hits.

2. AWS Growth Lagging Competitors AWS remains Amazon’s profit powerhouse (17% of revenue but ~50% of operating income), but its growth has cooled to 17-20% year-over-year—below Microsoft’s Azure (39%) and Google Cloud (32%) in recent quarters. Q3 brought a rebound to 20% growth (the highest since late 2022), boosted by deals like the $38B, seven-year OpenAI pact for Nvidia GPUs. Still, the perception of Amazon playing catch-up in the AI arms race has fueled selling—especially as the broader tech sector rotates away from hyperscalers amid high valuations.

3. Regulatory Headwinds and Legal Bills Amazon’s facing a barrage of scrutiny that’s eroding confidence. In September, it settled a $2.5B FTC lawsuit over Prime practices, removing some overhang but highlighting ongoing antitrust risks. November brought fresh EU probes under the Digital Markets Act, potentially labeling AWS a “gatekeeper” and slapping on fines or compliance costs.

4. E-Commerce Pressures and Broader Market Sentiment The retail side (74% of revenue) grew a solid 10% in Q3, but it’s under fire from low-cost disruptors like Temu and Shein, who snag 50% of U.S. shoppers with dirt-cheap imports. Amazon’s “Haul” initiative to counter them has flopped so far, though potential tariffs could help. Add in tepid top-line guidance (Q3 missed Street estimates slightly) and a high P/E ratio (35x forward earnings), and the stock’s become a relative value trap versus peers.

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Disclaimer: This is not financial or investment advice.

Don’t Discount the Discount King: Ross Stores ($ROST) is on Fire

In a retail landscape where shoppers are pinching pennies amid sticky inflation and economic jitters, your bargain hunts at Ross Stores aren’t just saving you cash—they’re fueling one of the hottest stocks in the sector. $ROST, the off-price apparel and home goods giant, just shattered all-time resistance levels, closing out the week at a record $177.69 on November 26, 2025, before pushing even higher to an intraday peak of $178.19 on Friday. That’s up a blistering 10.7% in the last week alone, marking the company’s best weekly performance ever, and 16.4% year-to-date—outpacing the S&P 500’s modest gains. My target is $195.

Please consider becoming a subscriber. You will get an exclusive access to my watchlists here and my private discord channel where I share my real-time trades with you to trade along with me. I spent considerable time/effort each day in compiling the best of the best trading strategies.