Let me analyze this portfolio and the investment strategy.
Investment Strategy: Invest in suppliers to AI/GPU needs, not power companies/cloud/nvidia, but more downstream/esoteric things needed for LLMs - like more memory or other components.
Current Portfolio:
- ONTO: Semiconductor equipment, wafer inspection
- RMBS: Rambus, memory interface chips and IP
- VRT: Vertiv, data center infrastructure/cooling
- MU: Micron, memory chips (DRAM, NAND)
- AMKR: Amkor, semiconductor packaging and test services
- MRVL: Marvell, data infrastructure semiconductor solutions
- AEHR: Aehr Test Systems, semiconductor test and burn-in equipment
This portfolio actually aligns very well with the strategy! These are all companies that support AI/GPU infrastructure:
- MU provides the memory (HBM for AI)
- RMBS provides memory interface technology
- AMKR provides advanced packaging (critical for HBM and chiplet designs)
- MRVL provides networking/interconnect solutions
- ONTO and AEHR provide testing/inspection equipment
- VRT provides cooling infrastructure for data centers
Market Assessment:
- Markets are slightly up today
- VIX is down significantly (-6.09%), indicating lower volatility
- Tech/NASDAQ up modestly
Recent News:
- MU has positive news about AI chips and a director buying $7.8M worth of stock
- ONTO has surged 20% in a week
- General market seems stable
Tax Considerations:
- AMKR has a wash sale warning
- All positions are short-term (no long-term gains)
- Small net realized gain for the year ($23.73)
Analysis:
1. Portfolio is well-aligned with strategy
2. MU director buying is a strong signal
3. ONTO may be overextended after 20% weekly gain
4. AMKR is down 5.9% but has wash sale issues
5. Cash position is minimal at just 4.2% of the portfolio, limiting flexibility for new opportunities or rebalancing.
Given the strong alignment with my thesis, I should hold most positions. ONTO's recent surge suggests taking some profits might be prudent. The insider buying at MU is compelling and worth considering adding to. AMKR needs careful handling due to wash sale constraints.