April 30, 2026
By Peter Bower
The AI trade is alive and well, although it goes through bouts of doubt. Just this past week, the Wall Street Journal published a story that indicated that one of the biggest Artificial Intelligence model providers, OpenAI, was not hitting its internal targets for user and revenue growth. The implication was that their spending to roll out for additional capacity would have to be curtailed. The stock market swooned. Protests from the company itself, stating that this story was incorrect, did not mollify investors.
Recently, the entire stock market advance has been driven by the extraordinary capital investment for advancing this new technology. An entire ecosystem has developed to facilitate this. A wide variety of companies are benefiting. There are technology providers, firms that build data centers and additional power plants, connectivity and maintenance solutions specialists, and everything in between. This is a massive endeavor!
Not until the major providers of AI models began reporting their recent earnings and future plans did investors regain confidence that the capital spending and roll would continue. In fact, several companies indicated that they were increasing their spending plans for AI. So, the party continues, and the stock market rolls on. Stay steady my friends!
-The Lonely Bull
