Shapiro recommends trimming AI positions ahead of Nvidia earnings and uncertainty around future data-center spending. Sosnick explains why investors shouldn't let potential tax bills prevent sensible rebalancing.
Well, I work in AI, but right now I think it's time to take your profit off the table from AI until we know what's going I mean, we're going to get Nvidia earnings after the bell on Wednesday. right? Um, but I would I would wait to see what happens after the midterm. And the reason I would say take money off the table with AI, take your profits now is, nobody got poor taking the profits too soon. The other issue is that the midterms are going to have a play on what happens with data center construction. And that's going to be a big play. And there's a conference to pay attention to, the Yada conference in Las Vegas 2026.
uh, September. Uh, this is where all of the AI infrastructure people gather to talk about what's going to be coming.
The Yada conference?
It's Yada 2026.
Like yada yada?
Like Y o TT A.
Okay, YOTTA.
Yeah, it is the largest gathering of all the infrastructure build out, the cooling systems, everything. VC will be there, PE will be there, all there.
Okay.
And the question is, is it going to be a 3 trillion? It's 1 trillion just for the big for the Mag 7. Is that still sustainable in 2027? And what they talk about in September in Las Vegas is going to give you some bearing as to where they are.
So I want to ask one question I'm going to go to you. When you say, when you say take your profits at AI, are you saying trim or take them completely?
Trim. You never take you should never do I'm not Ray Dalio. I don't say all in.
All right. It's not a conviction. It's not a conviction. Take the profit. I want I was saying trim. Okay, great.
But I I but I do think that we've gotten so averse because again because some in some cases the profits have gotten so big, people don't want to pay the tax on that. You know, and so I think that is making people reticent and you know what? Don't Bulls, bears pigs, don't, you know, don't be don't be afraid. Don't be afraid to trim here and there. Don't be afraid to re-evaluate your portfolio and say, you know what? This has been great. I'm up huge, but I'm way over my skis.
way over my skis.
And so be okay to rebalance. So think about the stuff that might win. I I think all value stocks. I know the other n, you know, there's a lot of talk about SPW that the equal weighted S&P so you know, doing better than SPX. One thing I've looked at for years is V and G and V and V. Those are Russell to Russell 1000 Vanguard ETFs.
Growth and value.
Growth and value.
