00:00We are seeing this optimism around AI, but also fears of a bubble in AI completely splitting markets at this point.
00:08Do you think that there are more gains to be had in this sector?
00:12We're actually still positive on the AI story.
00:16We think the AI party is not over.
00:19Of course, there are some concerns, especially for the US, AI names with the valuations, which are pretty stretched.
00:30We actually think that when you look at the earnings data, they are still supportive to the AI names.
00:41We also think that the recent correction actually is pretty healthy.
00:47As you know, this year, especially the US AI-related names, they have a very good run already.
00:56And the recent correction actually is healthy, and this is good, and it's actually overdue.
01:04And we actually think that any more pullbacks are actually buying opportunities.
01:09And when you talk about AI names, are we talking more about the big tech giants in the US or Chinese names as well?
01:17Yeah, I think for the US names, we continue to like, especially we think, as I mentioned, there's like earnings support.
01:27And also like even people worried about whether, I mean, they have a massive capex and whether they are going to deliver like the ROI.
01:37But so far, we think that they are okay, and utilization rate is actually high.
01:43So that's actually supported for the capex.
01:47But on the China side, we also like the China AI names.
01:52Because, I mean, compared to the US names, they are actually, in terms of valuations, more reasonable.
02:00And, of course, this week, we're going to see a couple of them's earnings results.
02:06And let's see, and they're going to give guidance, I mean, whether the momentum is going to go forward.
02:13But we actually think that, like, especially for, like, the China AI names, given, I mean, they actually have a, like, a separate, I mean, AI ecosystem.
02:24And in terms of, like, there are actually also more, like, in terms of cost efficiencies, it looks better.
02:31So, I mean, with the increasing AI demands, and that would also mean the increasing need for all the, from, like, infrastructures to a lot of the adoptions or applications.
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