More Tales From Nvidia: The Anthropic IPO and More (Issue #269!)

Avatar photo Doug Kass on November 2, 2026

Here is a short follow up to my last two More Tales.

With regard to Gen AI being dis-economic and resource inefficient, We Work being a better deal than Anthropic (and Open AI), and Adam Neumann being more qualified than Dario Amodei (or Sam Altman) to be a public company CEO, which granted, would make Neumann the world’s tallest small person.   

Here is Sam Altman basically stating that nobody should be allowed to have a PC (or presumably a handset or anything else) so he can have all the memory, at better prices.  

Uh Sam, whose fault is it that DRAM prices have gone through the roof?  Do you realize what a pain in the ass this is for every normal person, the overall inflationary impact on the economy, and all of the knock on effects borne from that?  

These people are complete and utter sociopath’s who have built their business on the backs of stealing IP from others, and numerous other unsavory behaviors. The whole industry is a collection of sociopaths, stock promoters, and greater fools, culminating in trying to dump a $2 trillion pile of junk with a broken technology on the public at large.  

Even worse, the Anthropic IPO is structured in such a way to leave permanent control with these types of people, while they sell their own stock. This cannot be allowed to happen. It is absolutely ridiculous to centralize this much power and influence with a bunch of loonies that will have no form of external governance to moderate their self-serving behavior and sociopathic whims.  

If they have it their way, nobody will have a computer, nobody will have a cell phone, and who knows what else they want nobody but them to ultimately have? 

This is interesting too. A junk rating for a 2 trillion dollar company with all of that cash? Hmmm. Yeah, it is junk because it is a $2 trillion dollar pile of garbage with massive future commitments (ergo functionally debt) with deteriorating fundamentals and poor and misleading disclosure (Q3 blank for example), awful governance, and crazy insider unlocks, that loses money hand over fist, which is being dumped on the public. Should not be allowed to happen. We Work was a better deal IMO, and We Work ended up being worth less than zero, despite the banker’s initial valuation attempts and all the hype surrounding it as well.

From Jeffrey Gundlach:

 Positions: None

BABA Up, PGEN Down: Upside, Downside Movers in the Morning

Avatar photo Doug Kass on November 2, 2026

– $INO +262% (FDA grants accelerated approval to VOCERYQ to reduce surgery frequency in adults with recurrent respiratory papillomatosis)

– $PERI +31% (agrees to be acquired by Affle for $11.70 a share in cash, valuing the deal at about $420M)

– $IDXX +7.8% (Q3 beat and FY revenue and EPS outlooks were raised, outweighing a slightly lower margin range)

– $BABA +3.3% (China adds liquidity through a 100B-yuan swap facility, while reports point to BABA support for AAPL’s China AI rollout)

– $SKHY +3.2%, MU +1.1%, WDC +1.0%, SMTC +1.3% (memory and connectivity names rebound from Friday’s chip rout as Deutsche Bank turns bullish on US technology)

– $GFI +3.1%, AG +1.7%, HL +1.9% (gold and silver miners rebound as precious-metal prices recover)

– $RIVN +3.0% (UBS upgrades to Buy on valuation after the recent selloff)

– $CRWD +2.6% (Deutsche Bank upgrades to Buy)

– $EL +2.3% (Q1 beat with strong margin expansion and the FY sales, margin and EPS outlook raised)

– $AU +2.2% (TD Cowen initiates at Buy as gold rebounds)

– $FORM +1.7% (Freedom Capital upgrades to Buy after record Q3 results and the recent pullback)

– $CRWV +1.4%, BE +1.2%, $VRT +1.3% (AI-infrastructure names rebound with technology after the sharp three-week selloff)

Downside

– $KPTI -69% (files Chapter 11 and names Ayrmid as lead bidder in a court-supervised sale process)

– $PGEN -28% (falls on new RRP competition after the FDA approves INO’s VOCERYQ)

– $KOS -9.2% (Q3 profit and revenue missed expectations as crude prices retreat)

– $CHKP -6.3% (Q3 revenue slipped and missed expectations as management said the recovery is taking longer than anticipated)

– $EQNR -2.9%, $OXY -2.0%, $APA -1.9%, $XOM -1.3%, $CVX -1.1% (oil producers fall as crude drops nearly 4% on renewed US-Iran diplomacy)

Fed Speakers, Economics Calendar

Avatar photo Doug Kass on November 2, 2026

11:15 a.m.: Fed Bank of Chicago President Goolsbee (Non-Voter) moderates a discussion before the Financial Markets Group Fall Conference, Chicago, IL (Livestream available. No embargoed text)

Economic Calendar

SOURCE: TipRanks

It Pays To Get Up Early!

Avatar photo Doug Kass on November 2, 2026

I am reducing my $GLD holding (at $361.74 or +$6) from medium-sized to small-sized on the move that just occurred.

I added early this morning (at $357.08):

Added Gold in the Premarket

I have added to my GLD long at $357.08 in the premarket.

Position: Long GLD (M/L)

BY Doug Kass · Nov 2, 2026, 6:25 AM EST


Position: GLD S

Break in!

Avatar photo Doug Kass on November 2, 2026

From the Iranian Press – the Iran Supreme Leader has reportedly granted government authority for talks.

Futures rise on the news.

Positions: None

More Tales From Nvidia: Roger McNamee and Me (Issue #268!)

Avatar photo Doug Kass on November 2, 2026

I have written nearly 270 columns (“More Tales From Nvidia”) on The StreetPro.

I have expressed a number of concerns (from a lay person’s perspective) — some of which Roger McNamee and I share in common:

* Society is ill prepared for the negative consequences and safety issues associated with AI.

*  The AI creators and practitioners take no responsibility for those consequences and issues.  Indeed, they are trying to the opposite — evading accountability.   

* The reality of AI has fallen far short of expectations and applications.  

*  Thus far the apparent presence of enterprise customers (who pay more for AI services than it costs a vendor to provide them), the benefits of scaling training sets and data centers and the widely anticipated productivity gains have been slow to materialize.

* The limitations of large language models is growing more apparent. The systems are inherently probabilistic — resulting in varying degrees of errors and non-predictive results. Those shortcomings are not being overcome by scaling computer power.

* A one size fits all product requires massive amounts of time and money to integrate into existing systems — with limitations already developing on funding.

* The speed to market and scale of AI investment failed to wait for innovation to drive down the price of infrastructure (in fact, the opposite is happening with costs rising) and has created not only a timing problem between outlays and revenues but (also) potential risk to the bond and the broader economy far worse than the internet era. 

* Though more than two handfuls of companies are in competition with different AI products, history shows that only a few will likely be successful. The potential for hundreds of billions of dollars of writeoffs is rising.

* The size of AI infrastructure investment and the amount of debt being employed is inflationary, raises interest rates and crowds out other borrowers. Already investors’ appetite appears to becoming sated and companies like CoreWeave ($CRWV) (a short) and Oracle ($ORCL) (also a short) are already “in distress” with extended balance sheets and offshore financing.

* Other risks from AI products include fraud, cybersecurity, deskilling workers and students and social isolation. 

* AI concentrates power in the hands of a few — some of whom have previously expressed authoritarian tendencies. 

From Roger McNamee:

Roger McNamee: AI’s ‘existential risks’ are all hype. But there’s a real, and dangerous, financial bubble building

Position: None