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06-11

$CoreWeave, Inc.(CRWV)$  , $APPLIED DIGITAL CORP(APLD)$  , $NEBIUS(NBIS)$   – Nvidia's Shadow Stocks or Just Another Meme Spike?

1. Context: Nvidia's Halo Expands.

As Nvidia's valuation rockets into the stratosphere, traders are hunting for the next “AI infrastructure proxy.” Enter:

CRVW (CoreWeave) – private, but its partner stocks are moving

APLD (Applied Digital) – the landlord to CoreWeave, just inked a 15-year 250 MW lease

NBIS (Nebius) – Nvidia ecosystem enabler, up 57% in less than a month

2. Why These Names Are Popping:

AI Demand > Chips Alone: The new bottleneck isn’t just Nvidia GPUs, but power-hungry data centers that can host them. Companies like APLD are literally powering the AI revolution — megawatts are the new megabits.

Narrative Fuel: Every new NVDA high adds tailwind to its second-tier suppliers. These stocks become story stocks, with momentum traders pouring in.

Meme Mechanics: These names are thinly traded, optionable, and headline-reactive — the perfect ingredients for social media-fueled runs.

3. A Quick Take on Each Ticker:

APLD (Applied Digital)

✔ Real infrastructure, real revenue

✔ Long-term leases with AI players

✖ High debt load (~US$900M); needs rates to stay tame

✖ Dilution risk if market euphoria cools


NBIS (Nebius)

✔ Leverages Nvidia’s software and ecosystem

✔ Earnings surprise last quarter added fuel

✖ Lack of clarity on revenue model — is it licensing, services, or resale?

✖ More of a narrative name than fundamentals-based for now

Others (e.g. IRNT, GREE)

These have piggybacked on the AI trend, but fundamentals are thin. High risk, high volatility.

4. My Playbook (Cautious but Opportunistic):

Trading, not investing: I treat these as short-term momentum trades, not long-term compounders.

Capital allocation: No more than 1–2% of total portfolio per name.

Triggers: Look for NVDA earnings beats, new data centre leases, or M&A chatter as breakout triggers.

Exit plan: Trailing stops of 15–20%. Ride momentum, but don't marry the trade.

5. What Could Go Wrong:

Rate volatility — most of these names are capex-heavy and funding-dependent

Nvidia cools off — these stocks rely on the AI narrative staying red-hot

Regulatory or energy policy shifts affecting large data center construction

AI, Quantum, Then Nuclear: Are Meme Sector Swaps New Alpha?
Just a few days ago, the market darling was CRWV, Nvidia’s favored pick. Now, the spotlight has shifted to nuclear energy and quantum computing. Jensen stated that quantum computing is reaching a critical inflection point. Nuclear-power startup Oklo soared and hit new high after the company announced it has been selected to deploy its nuclear reactor technology at the Eielson Air Force Base in Alaska. With the market repeatedly rotating between these sectors, is it time to wait for a pullback and just pick any of them to potentially make a profit?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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