InvestIdeas

Dan Ives calls Microsoft and Oracle "way oversold" even as AI revenues compound, with Microsoft's AI run rate hitting $37B and rising 123% year over year.

A memory supercycle has NVIDIA's Data Center revenue up 92%, while Apple faces potential iPhone price hikes ranging from $150 to $200 as memory costs filter through.

Ives pins the reversal on July earnings, calling Microsoft and Meta reporting July 29 a major catalyst for battered hyperscalers.

This is a split tape, with capex-heavy hyperscalers punished while chip and memory names get rewarded.

The market treats those numbers as cost without revenue. The numbers say otherwise.

Microsoft's AI business surpassed a $37 billion annual revenue run rate, up 123% year over year.

Google Cloud grew 63% to $20.03 billion with backlog nearly doubling quarter on quarter to over $460 billion.

Oracle's cloud infrastructure revenue grew 93% to $5.79 billion with RPO at $638 billion, up 363% year over year.

Memory costs are up 90 to 95% this year, with equilibrium not expected for 18 to 24 months.