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Luke Kawa

Broadcom soars as rave reviews for Gemini 3 boost appeal of its custom chips

When spectators saw Michael Jordan blossom as a basketball star, it made them want to buy Nike’s Air Jordans.

Mizuho reckons there’s a similar halo effect for Broadcom based on the rave reviews for Google’s latest GenAI model, which include this ringing endorsement from Salesforce CEO Marc Benioff.

“Gemini 3 was trained and powered on Google homegrown TPU chips, which benefits partner AVGO,” wrote Daniel O’Regan, Mizuho’s managing director of equity trading.

Custom chips (ASICs) are Broadcom’s specialty, and as O’Regan noted, Google and Broadcom codesigned these building blocks for Gemini 3. Boosts to Google’s capex budget have tended to buoy shares of Broadcom, since it’s a big beneficiary of these outlays.

The early positive reception to Gemini 3 implies that: a) Google will want to continue this relationship (and need more chips for training and inference!), and b) other GenAI developers might be more willing to pursue the custom chip route for AI models and inference, perhaps eating into market share for Nvidia’s GPU-based solutions.

To this end, Broadcom announced a collaboration with OpenAI in mid-October to develop and deploy 10 gigawatts of custom AI accelerators.

Nvidia CEO Jensen Huang has argued that GPU-centric data center solutions are superior because of how ubiquitous the firm’s CUDA software is in high-performance computing.

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Luke Kawa
7m
The boom in sports gambling and prediction markets is creating “emerging credit risks,” per Bank of America

“For investors this convergence of entertainment and speculative finance signals heightened behavioral risk,” writes BofA.

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Iren Cipher Mining Data Center Crypto Miners

JPMorgan lifts Cipher Mining to “overweight,” hikes Iren price target

The crypto-miner-turned-AI-data-center trade is back on Monday.

Matt Phillips16m
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Matt Phillips

Citi ups Oklo price target as company executes “on all fronts”

Citi analysts lifted their price target for aspiring nuclear power provider Oklo Monday, after meeting with management last week.

They cited progress on the company’s reactor licensing strategy, its new radioactive fuel supply business — part of an acquisition that closed in March — as well as Oklo’s ability to borrow at lower-than-expected costs recently.

Analysts led by Vikram Bagri, who have a “neutral/high risk” rating on the stock, lifted their price target to $95 a share from $68. (It’s currently trading around $90.) They wrote:

“The company is executing on all fronts with new supply contracts for long lead time items, a dual-track licensing approach, diversification through its radioisotope business, and the exploration of new avenues for fuel procurement. We lift our target price as we incorporate radioisotope business.”

In particular, they spotlighted Oklo’s strategy of pursuing licensing for its reactors on parallel tracks with both the Nuclear Regulatory Commission — the traditional decider on all things nuclear in the US — and the Department of Energy, which under the Trump administration has begun issuing faster authorizations for initial development of experimental reactors, without applicants having to wait for full commercial approval of reactor plans from the NRC, as was previously typical. We recently wrote about that approach here.

Oklo has no revenue and Wall Street analysts don’t expect it to have any significant sales until 2028, when they project it will still be seeing losses.

David Crowther, Hyunsoo Rim
Way-Mo-Gems-to-come
2h
Google has smoked the rest of its Big Tech peers this year

Alphabet is top of the BATMMAAN food chain, gaining nearly 60% in 2025.

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J. Edward Moreno

Grindr falls after company ends engagement on take-private proposal

Grindr fell in premarket trading after it announced that a committee of board members decided to disengage with a take-private proposal by its majority shareholders due to “uncertainty as to the financing” for the deal.

In October, shareholders James Lu and Raymond Zage, who together already own more than 60% of the gay dating app, proposed to buy the remaining shares of the company and delist it from the New York Stock Exchange. They said they would use a $1 billion loan and $100 million in their own cash to fund the deal.

“To date, the Special Committee has been unable to obtain satisfactory information about definitive financing,” Grindr said in a Monday morning press release.

Representatives for Lu and Zage did not immediately respond to a request for comment.

Rumblings of the take-private deal led the stock to jump after shares slid starting this summer. While the two huge shareholders are hoping to buy out Grindr stock at $18 a share, a premium from current levels, it was above $20 as recently as July.

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