Goldman Sachs says AI the sector remains attractive, and hyperscale investment may support Asia's hardware supply chain
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Goldman Sachs believes AI equities remain attractive, while Asia's AI hardware supply chain could be supported by expectations for cloud computing investment.
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Goldman Sachs says AI the sector remains attractive, 800000000000 USD Hyperscale investment supports Asia's hardware chain
Dongcha Beating AI Breaking News: Timothy Moe, head of Asia-Pacific equity strategy at Goldman Sachs, said that despite rising government bond yields, stocks related to AI remain attractive. Moe said: “We are firmly in the ‘stronger for longer’ camp.” He noted that hyperscale cloud computing companies are expected to invest approximately 800000000000 USD，2027 this year, while annual investment could reach approximately 1200000000000 USD, which would be an important signal for demand in Asia's AI hardware supply chain. Moe said that the “extremely low” valuation levels in Asian markets also provide additional support for related stocks. The overall price-to-earnings ratio of Asian equities is currently approximately 10 times, at the lower end of the historical valuation range.
He added that corporate earnings growth would also cushion the high-interest-rate environment. For the remainder of this year, Moe expects markets may continue to be “somewhat bumpy” as the US midterm elections approach, with high energy prices and geopolitical risks adding pressure. However, after this phase ends, he believes markets may rally before year-end, driven by corporate earnings growth and valuation recovery. (Jin10)
Original link https://m.theblockbeats.info/flash/368939
Key points
01
Timothy Moe, Goldman Sachs' Head of Asia-Pacific Equity Strategy, said that AI related stocks remain attractive.
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Hyperscale cloud computing companies are expected to invest approximately this year 800000000000 USD，2027 The annual investment scale may reach approximately 1200000000000 USD。
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The article stated that these investments will become an important signal for demand in Asia's AI hardware supply chain.
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The article stated that the overall price-to-earnings ratio of Asian equities is approximately 10 times, at the lower end of its historical valuation range.
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Timothy Moe expects markets may remain “somewhat bumpy” as the U.S. midterm elections approach.
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The article stated that high energy prices and geopolitical risks will increase market pressure.
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Timothy Moe believes that corporate earnings growth and valuation recovery could drive the market higher before year-end.
AI-assisted interpretation
The following is analysis, separate from reported facts. Verify important claims independently.
This news relays the view of Goldman Sachs' head of strategy: cloud computing enterprises are expected to increase investment, potentially boosting demand in Asian AI hardware supply chains; lower valuations and corporate earnings growth in Asian stock markets may also provide support, but energy prices, geopolitics, and changes in interest rates will bring volatility.
Why it matters to readers
It links cloud computing companies' investment plans to demand from Asia's AI hardware supply chain, while also noting that the relevant markets face risks from interest rates, energy prices, and geopolitics.
The investment scale and the assessment of the market’s rise are forecasts; they do not mean that they have already occurred or will necessarily be achieved. Asian stock markets’ price-to-earnings ratio is approximately 10 times, indicating that the text considers their valuation to be relatively low.
Risks and unknowns
800000000000 USD and 1200000000000 USD is the estimated or potential scale of investment; the actual amount has not yet been determined.
The text does not provide a specific list of ultra-large cloud-computing companies or each company’s investment plan.
The market’s rise before the end of the year is Timothy Moe’s assessment, and it may not materialize.
The information is a media account of the views of Goldman Sachs’ head of strategy; the original text does not provide independent data to verify the relevant forecasts.
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hyperscale cloud computing enterprises
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