Clear market notes built around the JSE, the rand, and what matters locally.

2026-07-16 11:48 • Investing.com Mixed Axe Cap view: Selective

US equity futures declined as semiconductor stocks weakened, with the Nasdaq 100 struggling near the 30K resistance level. Despite softer inflation data supporting growth assets, AI enthusiasm is cooling amid concerns about infrastructure investment returns and supply chain constraints. The Fed remains cautious despite improving inflation data, with focus shifting to retail sales and hawkish Fed speakers.

Axe note: Semiconductor stocks weigh on Nasdaq, casting shadows on JSE tech favourites like Naspers and Prosus.

2026-07-16 11:32 • The Motley Fool Positive Axe Cap view: Selective

Micron Technology is positioned as a major beneficiary of the AI inference boom, with its stock potentially doubling due to surging demand for high-bandwidth memory (HBM). Trading at a low forward P/E ratio of 6.5x, the company benefits from supply constraints expected to persist until 2030 or beyond, with HBM prices potentially doubling next year. Long-term supply agreements covering 40% of revenue provide visibility for sustained earnings growth.

Axe note: Micron’s memory business might double, but South African investors should watch USD/ZAR and tech exposure carefully.

2026-07-16 11:32 • The Motley Fool Negative Axe Cap view: Selective

A Raymond James analyst projects SpaceX stock could reach $800 per share within 12 months, valuing the company at $8.7 trillion. However, the article argues this is unlikely given SpaceX's current financial performance: Q1 2026 showed 15% revenue growth to $4.7 billion but a $2 billion loss, with only the Starlink segment profitable at $1.2 billion operating profit. While SpaceX operates three promising business segments (space launch, satellite broadband, and AI), the company's modest growth and ongoing losses don't support such dramatic valuation increases.

Axe note: SpaceX’s lofty $8.7 trillion valuation target looks disconnected from its current financial performance.