Ignore the Strait of Hormuz, Focus on Earnings Instead

This morning I revisit two posts from the weekend. First, Apple's Services business hitting a record $30.98 billion last quarter and why the $100 billion share buyback authorization matters even more when you realize the hyperscalers are spending hundreds of billions on CapEx and simply cannot compete with what Apple is doing with their cash right now. Apple is returning capital while everyone else is burning it. Second, Berkshire Hathaway just reported a record $397 billion cash pile under Greg Abel's first quarter as CEO. Everyone wants to read into it like Buffett knows something we do not. My honest take is that sitting in 6 month treasury yields has been roughly flat in real inflation adjusted terms since 2022, and while that patience is admirable, the lesson for the rest of us is to be a bit faster when stocks become attractive. There have been plenty of opportunities to own Alphabet, Amazon, or Microsoft at genuinely attractive valuations over the last few years. Buffett himself took a stab at Apple, so it is not that crazy to say big tech can be a value investment at the right price.Rigatoni Capital is a daily morning podcast for long term, buy and hold investors. This is not a show for short term traders or people looking for quick wins. Every morning I go through the most important headlines in finance, markets, and macro, and call out fake narratives in the financial media so you know what actually deserves your attention and what to ignore.Subscribe to Rigatoni Capital on Substack: https://rigatonicapital.substack.comDisclaimer: This blog is for informational purposes only and does not constitute financial advice. All opinions are my own, and I am not a financial advisor. The information provided reflects my personal views and is intended to encourage discussion and thought among readers. Investments involve risk, including the loss of principal, and past performance is not indicative of future results. Always conduct your own research or consult with a qualified professional before making any financial decisions.#investing #stocks #finance #wallstreet #stockmarket #investor #wealth #money #financialfreedom #passiveincome #dividends #compounding #longterminvesting #buyandhold #valueinvesting #portfoliomanagement #bitcoin #crypto #macro #Nasdaq #SPY #QQQ #SP500 #Apple #AAPL #Services #Berkshire #WarrenBuffett #GregAbel #BuyBack #Amazon #AMZN #Alphabet #GOOGL #Microsoft #MSFT #EarningsSeason #StraitofHormuz #Iran #stockanalysis #marketwatch #RigatoniCapital$AAPL $BRK.B $AMZN $GOOGL $MSFT $QQQ