Noura El Allam @nouraellm: "Portfolio update - 2 June..."

Belgium

Portfolio update - 2 June 2026 $NFLX (Netflix, Inc.) is pulling back today, sitting 37% below its 52-week high of $134.12. Q1 2026 EPS of $1.23 beat the $0.79 estimate by 56%, with revenue of $12.25B just ahead of forecasts, though the stock barely reacted post-results. The content strategy is evolving: Netflix acquired an AI film studio (Ben Affleck's InterPositive), launched its in-house AI animation imprint INKubator, and began streaming The Breakfast Club live on weekdays from 1 June. These moves expand the engagement funnel beyond on-demand viewing. No near-term catalyst visible, but the long-term streaming thesis remains intact. $CVS (CVS Health Corp) has been one of the quieter success stories in this portfolio, up +107% since the start of 2025. Q1 2026 revenue came in at $99.85B and adjusted EPS of $2.57 beat the $2.21 consensus by 16%. Management raised full-year 2026 guidance to $7.30-$7.50 EPS and $405B in revenue. The key news today is the GLP-1 formulary expansion: CVS has re-added Eli Lilly's Zepbound and the new oral therapy Foundayo to its coverage, opening up weight-loss medication access to approximately 27 million Aetna health plan members. This is a meaningful catalyst for pharmacy volumes and plan competitiveness. Dividend yield is 2.94%. Consensus: 24 Buy, 3 Hold, 0 Sell, with a median price target of $97.50. $NVDA (NVIDIA Corporation) Computex is the main event this week (Taipei, 1-5 June). Yesterday Nvidia unveiled the RTX Spark Superchip for AI-native PCs, sending the stock up +6.3% and contributing most of Monday's S&P rally. Today consolidates, which is normal after a major announcement. CEO Jensen Huang also called $MRVL (Marvell Technology Group Ltd) Technology "the next trillion-dollar company" on stage and announced a $2B investment into Marvell and photonics infrastructure, reinforcing Nvidia's role as the centre of gravity for the AI supply chain. $AVGO (Broadcom Inc) is the standout performer today and carries the most important event risk in the portfolio this week: Q2 FY2026 earnings after close on 3 June. The consensus across 37 analysts is $2.40 EPS on $22.1B in revenue, implying +47% year-on-year top-line growth. AI semiconductor revenue is guided at roughly $10.7B for the quarter, up around +140% YoY. Broadcom holds a $73B AI order backlog and its custom silicon franchise, designing XPU chips for hyperscalers, is structurally stickier than merchant GPUs with multi-year customer commitments. $GOOG (Alphabet) The dominant headline today is a landmark $80B equity raise announced after market close on 1 June. The structure includes a $30B underwritten public offering, a $40B at-the-market programme starting in Q3 2026, and a $10B private placement to Berkshire Hathaway at around $350 per share, representing a notable vote of confidence from Warren Buffett. Proceeds are earmarked for AI compute infrastructure, in line with $180-190B in disclosed 2026 capital expenditure plans. The stock is down today on dilution concerns, a textbook near-term reaction to a large equity offering. Fundamentals remain strong: Q1 2026 revenue of $109.9B (+22% YoY), EPS of $5.11 (94% ahead of consensus), and Google Cloud revenue of $20B (+63% YoY) with a $460B backlog. Berkshire's entry price of around $350 sets an implicit floor. $SAP (SAP SE ADR) is recovering today after a steep drawdown from its all-time high of $313 in July 2025 to a May 2026 low of $158.58, a decline of around 49%. The de-rating reflects market concern over the shift to consumption-based AI billing and near-term revenue visibility as the company transitions away from perpetual licences. Q1 2026 results were solid: revenue EUR 9.6B (+12% constant currency), cloud revenue +27%, Cloud ERP Suite +30%, and free cash flow of EUR 3.2B. EPS of $1.99 beat the $1.92 consensus. Full-year cloud revenue guidance is EUR 25.8-26.2B with a 30% operating margin target. SAP also announced a EUR 1B AI acquisition programme and committed EUR 300M to French sovereign cloud infrastructure. $CEM.MI (Cementir Holding N.V) is the contrarian position in this portfolio, a Milan-listed building materials company with a market cap of around EUR 2.1B that provides diversification away from US tech concentration. The stock is down 36% from its January 2026 all-time high of EUR 20.70. Low beta of 0.53 dampens overall portfolio volatility meaningfully. Operations span Europe, North America, Turkey, Egypt, and Asia Pacific under the Aalborg White cement brand. Analyst consensus sits at a 12-month price target of EUR 17.30, implying +31% upside from current levels, with 3 Buy ratings and no Sells. No near-term catalyst is visible. This is a value and mean-reversion position held for diversification. Key dates: - 3 June: $AVGO Q2 earnings after market close - 4 June: $NVDA ex-dividend ($0.25 per share) - Ongoing: Monitor $GOOG share price around Berkshire entry of ~$350 - 22 July: $SAP Q2 earnings

Not investment advice. The author may have financial interests in the mentioned instruments.