All right. Hello everybody. Welcome back to another episode of the market close. We are live. We've got Amazon, Apple, Coinbase, Micro Strategy, Roku. We've got a lot of companies to talk about. Obviously, Amazon and Apple are the big ones that we will be taking a look at in the next 15 minutes, and we're going to be getting their results.

Uh, besides those companies, you do have a bit of red as we get into the market close. As you can see right here, S&P 500 actually violating that intraday low that it had at 940, uh, that we bounced off of for the majority of the day, right back down 680. You know, I've been trying to think for the past hour. I've been doing some research trying to see what is the reason for why uh we are getting this red and I I'm open to hearing theories in the chat. I have not found a definitive headline that you could chalk up for a explicit reason for why the market is upset.

Uh you know I can give you the excuse that we were at all-time highs, people are taking profits, yada yada alos, you could say all those things, but I don't know if any of that does it justice to be honest. Uh which might quite frankly mean there's not really reason. Bitcoin and Ethereum. Uh, not pretty.

I'm about to give you guys a stat about Bitcoin. That's not going to be pretty. So, just realize when you hear it, you're not going to hear it. Uh, you're not going to be able to forget it. But, nonetheless, it is true. Last time we had a red October for a Bitcoin that was negative3% or more. November ended up being negative 36%. Now that happened that happened back in um that happened back in 2018 and 2018 was a whole different cycle. You had the Fed hiking rates. You had a bare market. You had a China trade war. All that all that stuff. It's just one of those things that makes you think, all right, if Bitcoin is red 3% for the month, which it looks like we're about to be. I mean, we're down 3% for the day on Bitcoin 106.5, then we're going to have to see what happens in November.

I mean, again, if I had to paint together a story, the story is two parts. Number one, we read alltime highs yesterday. Market's a little upset. Uh not not upset that we're at alltime highs, but in general, you know, you get to alltime highs, need to take a little bit of a breather, take some profits. It seems like that could be what's happening right here. And then the second part of the story is that Meta just didn't have the best earnings. And although Google and Microsoft executed, Meta didn't.

The other reason the markets might be down today is because we don't have an official China deal. So again we got the China negotiation framework that was established yesterday by Trump and descent but there is not a specific deal officially that has been signed. That could be another reason that the market's upset. Um, and I guess, you know, that's why they're saying we're not going to move higher until we figure out what's going on with China.

Now, again, Meta right there 670. I am a bit confused on Meta. talked about this in the morning, but I don't understand how the market can give Nvidia a $5 trillion market cap and then give Meta a 10% hit because Meta is spending too much on capex.

And the reason this doesn't make sense to me again, you can't say the company that's selling the product that is pushing it to a $5 trillion valuation should go up, but the company that's buying the product, which is the reason for why that other company is getting to five trillion, should go down because they're spending too much. Because then you're assuming that the reason they're spending too much or that the implication of them spending too much is that there's not going to be an ROI. Well, if that's the case, if there's not going to be an ROI for all this capex spend for Meta, they're going to stop spending at some point. And if they're going to stop spending, that's going to hurt Nvidia, which means theoretically you should be concerned about Nvidia and the overall capex ecosystem if you're so concerned about Meta.

Now, granted, Microsoft and Google are not facing that same type of pain, which means the street is more heavily focused on Meta in particular, wasting money. Uh, but then you look at their revenue growth, you're like, well, what do you mean wasting money? like they're up 26% year-over-year. That's faster than every other big tech company outside of Nvidia. So, it's like it is a bit perplexing what's going on with Meta today. But, nonetheless, that one is getting hit.

Amazon right there 223 down 3% as we get into the close. ... Amazon goes, oh my goodness, we're green. We're green. Green. Green, baby. We are green. 237. Wow, that dump was such a head fake. That dump was such a head fake into the close. 240. Can we get 240? 239 on Amazon. Let me get the numbers in a second. Amazon up 8%. 241. Let's go.

24% beat. 195 versus 157 on EPS. Revenue 180 versus 177. That's a $3 billion beat and a 40 cent beat on EPS. EPS is up 36% year-over-year. Revenue is up 13% year-over-year. Amazon 242, baby.

>> We needed that one. We really needed that stuff, dude. I needed that. I needed that. Um, it looked pretty scary coming to close. I was like, "Oh, shoot. Oh, shoot. Hold on." AWS revenue beat on the top line. Hold on. I'm trying to pull up AWS growth.

>> But AWS, it's cloud business, it's profitability engine, that's where everybody was looking. We're looking at a beat there of 33 billion versus 32.42 billion expected. What's really key there, John, is that it's a growth figure of 20% year-over-year. That's higher than even the Whisper estimates from the street, which were in the range of 18 and a half to 19.

>> That's the number, baby. That is the number. AWS delivered. AWS delivered. Street thought it would come in at 18.5. We came in at 20%. That's the number.

Jasse says AWS growing at a pace we haven't seen. ... Jack says AWS reacelerating to 20.2% year-over-year. He also says we are growing at a pace we haven't seen since 2022, which is music to the streets ears, especially when it comes to AWS. So that's really important. And then to get into some specific numbers right here, let me pull this up. Uh revenue 180 versus 177, AWS 33 versus 32. Operating income 17.4. Net income 21.2 that's up almost 40% year-over-year. Cash flows up 16%. free cash flows almost 15 billion and then guidance 206 to 213 that is ahead of the street expectation as well and that is why aid Amazon is green.

Apple. We should be getting results. We're down. We're down. She's going red kind of. 270 to 265. That's not that crazy.

>> Beats on the top and bottom lines here. Let me go through. There's a lot to unpack here as we see the stock down about 3% on first blush. EPS was a beat. A$185 compared to A$1.77 expected. Revenue, a small beat here, 102.47 billion. Street wanted to see 102.24. Now, iPhone revenues, it was a miss. That might be why we're seeing some negative reaction here, but sales were still up 6% year-on-year.

>> Now, services, this is of course the big growth engine for Apple. It was up 15% year-on-year to 28.75 billion. That's a slight beat here. ... we did get some guidance this time ahead of the earnings call. ... December quarter revenue, they are saying it's going to be up 10 to 12% yearonear. And iPhone revenue for the December quarter. They're now predicting up double digits yearon year and saying this is going to be the best ever sales. Guys, that's a big deal. Apple grows like four to 5%. So a 10 to 12% quarter is a literal double of the last two years of their growth rates.

>> As far as China, Tim Cook telling me, quote, "We expect China to return to growth this quarter because of the reception of the iPhone there or the iPhone 17 family." And then of course we had to catch up on artificial intelligence. Tim Cook telling us that big AI update to Siri is still on track to launch next year.

>> to Sam's point, it looks like that super cycle might finally start to get priced in and that's why Apple is making a move. Apple right there goes green. 273 from 263 to 273.

All right, so Micro Strategy that's down 8%. I think that's more because of Bitcoin. We'll get their numbers in a second. Roku nasty hit down 6%. Coinbase down four. Cloudflare down two. Reddit down one. Atlassen's up 12. Twilio's up five for Solar is down seven. ... Coinbase 28% beast. 150 versus 117. ... you've got Coinbase beating on the top and the bottom line. Stocks still down. ... Reddit, wow, 54% beat on EPS. 80 cents versus 52 cents expected. ... You got a double beat and a hell of a beat on EPS for Reddit. ... Twilio 125 versus 107. That's a beat by 17% on EPS. ... Roku shares plummeting. This despite earnings beating ... the company's streaming hours 36.5 billion. That's over a billion short of analyst estimates. ... Netflix announces a split. ... 10 for one. ... Micro Strategy, they they they have Fazby accounting now. So, it's a it's a it's kind of a different way to think of their earnings. ... the reason Micro Strategy is moving, guys, is because they just said that they are assuming Bitcoin will be 150 by end of year.

>> This stock's going to be green. I mean ultimately if you look at that guidance what you're seeing in China. ... Everyone's focused on December and that that's very robust in terms of what we're seeing on iPhone demand specifically out of China ... Apple's going to get into the AI party and that I believe is worth $75 to $100 a share.

>> Amazon, Meta, Alphabet, they're deploying the amount of capital that 99% of companies will never see in their lives or their existence. Okay? Who is going to compete with them in three or four years from now? Nobody. They are going to be the nuts and bolts of everything technology. They're going to be the backbone infrastructure. Nobody can compete with them. They're just going to get bigger.

>> I mean, fake out feels like an understatement. The the the meta PTSD and then you see Amazon fall 3%. Everyone was feeling all right, what are we getting ready to hear? And then completely opposite direction.

I'll start with AWS. AWS is growing at a pace we haven't seen since 2022, reacelerating to 20.2% year-over-year, our largest growth rate in 11 quarters. ... Backlog grew to $200 billion by Q3 quarter end and doesn't include several unannounced new deals in October, which together are more than our total deal volume for all of Q3. AWS is gaining momentum.

as I mentioned on Tranium 2, it's it's it's really doing well. Um it's fully subscribed on Tranium 2. Uh we have, you know, it's it's a multi-billion dollar business at this point. Uh it grew um 150% quarter over-arter in revenue. ... I expect tranium 3 will be about 40% better than tranium 2. And trrenium 2 is already very uh advantaged on price performance.

we've been focused on accelerating capacity the last several months, adding more than 3.8 gawatts of power in the past 12 months... and we're on track to double again by 2027. ... Looking ahead, we expect our fullear cash capex to be approximately $125 billion in 2025, and we expect that amount will increase in 2026.

the announcement that we made a few days ago was not really financially driven and it's not even really AI driven. ... It's it it really it's culture and if you grow uh as fast as we did for several years... you end up with a lot more layers. And when that happens, you know, sometimes without realizing it, you can weaken the ownership of the people that you have who are doing the actual work... And it and it can lead to slowing you down. And as a leadership team, we are committed to operating like the world's largest startup.