Nvidia<\/strong> (NVDA) had its time in the sun. Then Oracle<\/strong> (ORCL) and Alphabet<\/strong> (GOOGL) took the reins.<\/p>\n But memory giant Micron <\/strong>(MU) became the new AI champion after reporting strong earnings on Wednesday along with shocking guidance.<\/p>\n Earnings estimates went through the roof. Analysts now expect EPS of $19.61 this year, up from $12.77 pre-earnings.<\/p>\n That's an increase of 53%.<\/p>\n And since estimates went up so much, its forward P\/E is now at 7:<\/p>\n First, single-digit P\/E ratios for Micron are nothing new.<\/p>\n And second, the memory market is extremely cyclical, so there's always the question of when peak earnings happen.<\/p>\n Because at some point, earnings estimates can contract just as fast.<\/p>\n But good luck trying to figure out when, because the AI industry is sucking up memory like nothing we've seen before.<\/p>\n We've talked for weeks about Oracle's (ORCL) meltdown<\/a><\/strong><\/span> on worries over its debt load and the sustainability of the AI growth cycle.<\/p>\n But it surged big-time on Friday on news TikTok would sell its US operations to an Oracle-led joint venture.<\/p>\n So for now, the market's assuming the financial benefits of the TikTok investment offset concerns about the strength of Oracle's AI business – particularly, the dependence upon OpenAI.<\/p>\n This may have been the best possible card to play because of TikTok's growth potential.<\/p>\n This week, we heard a string of news reports saying OpenAI is in talks to raise a whole ton of capital, which it needs to pay off its obligations to Oracle<\/strong> (ORCL).<\/p>\n A Wall Street Journal report said this latest funding round could value OpenAI at $830 billion.<\/p>\n That would make OpenAI worth more than Oracle itself, along with:<\/p>\n And plenty of other household names.<\/p>\n At some point, OpenAI will come public.<\/p>\n The tough part will be timing because who knows how far it will be in its growth cycle by then?<\/p>\n The way things are going, OpenAI could IPO at a multi-trillion dollar valuation!<\/p>\n Traders waited for years for Biotech to play catch-up to the major averages.<\/p>\n And 2025's been a banner year for XBI<\/strong>. Over the past 6 months, XBI<\/strong> has risen over 48%, crushing SPY <\/strong>and QQQ:<\/strong><\/p>\n Lower rates certainly helped, as did strong M&A activity and successful clinical trials.<\/p>\n There may also be a simple catch-up factor here.<\/p>\n If we take the same chart and wind it back 10 years, XBI<\/strong> is miles behind:<\/p>\n This week, crypto exchange Coinbase<\/strong> (COIN) announced it's beefing up its offerings by adding stock trading and prediction markets to its feature stack.<\/p>\n Coinbase wants to be a one-stop financial app, which makes sense given its reliance upon the ever-volatile crypto markets.<\/p>\n With Bitcoin and Ethereum well off their October highs, Coinbase stock is down -2.4% year-to-date.<\/p>\n More equities-focused competitors like Robinhood<\/strong> (HOOD), Interactive<\/strong> Brokers<\/strong> (IBKR), and Charles<\/strong> Schwab<\/strong> (SCHW) are up huge:<\/p>\n Since we're talking about the crypto mess, let's take a look at the ETF leaderboard:<\/p>\n I don't know about you, but I don't see how these four things can be true at once:<\/p>\n Yet the numbers don't lie:<\/p>\n If you can explain this, I'm all ears.<\/p>\n But if crypto is about to make a comeback, it will probably be vicious – especially on the equity side.<\/p>\n Short interest is high across the board on crypto-related equities like Strategy<\/strong> (MSTR) and Bitmine<\/strong> Immersion<\/strong> Technology<\/strong> (BMNR):<\/p>\n Now, I'm not interested in playing with this dynamite myself just yet.<\/p>\n But if you are bullish on crypto, you have to think we see some epic short squeezes in these names.<\/p>\n Who knows?<\/p>\n Maybe Tom Lee and Michael Saylor, and their followers, will be rewarded for their bullishness in the end.<\/p>\n Tesla<\/strong> (TSLA) hit a record high at $495.28 Wednesday to break its prior record high from last December.<\/p>\n That put it up 131% from the April lows to reward the faithful:<\/p>\n Tesla's latest catalyst was Robotaxi hype.<\/p>\n And investors once again forgave this company's unique combo of high valuation and questionable fundamentals.<\/p>\n Meanwhile, analysts are still rolling their eyes at the stock. Their average target price is just $395.73:<\/p>\n![\"\"](\"https:\/\/blog.t3live.com\/wp-content\/uploads\/2025\/12\/Screenshot-2025-12-19-at-11.59.28-AM.png\")
<\/a><\/p>\n<\/a>Many folks are wondering why it trades at such a cheap valuation.<\/p>\n2. Oracle Played the Best Possible Card<\/h2>\n
<\/a><\/p>\n3. OpenAI May Be Worth More Than These Companies<\/strong><\/h2>\n
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4. Biotech Is the Quiet Crusher<\/strong><\/h2>\n
<\/a><\/p>\n<\/a><\/p>\n5. Coinbase Is Coming for Robinhood<\/h2>\n
<\/a><\/p>\n6. Bitcoin and Ethereum Are Way Behind<\/h2>\n
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<\/a><\/p>\n7. Crypto Stock Short Interest Is Sky-High<\/h2>\n
<\/a><\/p>\n8. Tesla's Comeback Has Been Stunning<\/h2>\n
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