AnalytixInsight

After a geopolitical driven mid-week pause, markets closed decisively higher. Dow Jones lost 0.4% last week, S&P 500 gained 0.55%, Nasdaq composite was up 1.5%. Nasdaq and S&P 500 hit fresh highs Friday, aided by chip stocks. Multiple hyper scalers and AI related companies are expected to report earnings next week, amidst ongoing geopolitical volatility. Google and Amazon committed a combined US$65 billion in new funding and compute capacity to Anthropic, which is now seeing investor interest at a US$800 billion valuation. OpenAI is forming a US$10 billion joint venture, called DeployCo, to drive enterprise adoption. SpaceX is reportedly preparing for its June IPO, and also potentially acquiring AI coding startup Cursor for US$60 billion. Cursor’s annualized revenue recently hit US$2.7 billion. Nuclear startup, X-energy went public, raising US$1 billion in its IPO. Intel shares soared 20% on strong data center growth. Revolut is targeting a US$200 billion valuation for its eventual IPO. Tesla reported a 16% revenue increase to US$22.4 billion, as it pivots to its Robotaxi service. ServiceNow shares fell despite 22% growth due to Armis acquisition “headwinds,”. Adobe announced a US$25 billion buyback. In Canada, Cohere and Germany’s Aleph Alpha agreed to a US$20 billion transatlantic merger. In news pertaining to Sophic clients, Kraken Robotics’ CEO was interviewed by BNN Bloomberg, highlighting the company’s position in the new underwater arms race. Rivemont Portfolio Manager, Mathieu Martin, highlighted his funds’ his 50+ bagger investment journey with Kraken Robotics on the “In the Money” podcast. Replenish Nutrients expanded its credit facilities to $5.45 million to scale its Beiseker facility and tackle global phosphate gaps. 01 Quantum recently demonstrated its quantum-safe solutions at its Toronto AGM and also provided investors a business overview at an investor conference. Hybrid Power Solutions partnered with Movex Innovation to deliver NATO-compliant mobile power units. Renoworks Software reported FY2025 revenue of $7.7 million, with licensing revenue jumping 33% as it transitions to an AI-driven platform.

Last week, Dow Jones rose 3.2%, S&P 500 gained 4.5%, and Nasdaq composite was up 6.8%. S&P 500, and Nasdaq hit record highs. The Nasdaq’s 13 day advance was its longest win streak since 1992. TSMC raised its full-year revenue growth forecast to over 30%, reporting US$18 billion in quarterly net income. That said, the semiconductor sector remains sensitive to regulatory friction. ASML shares fell 6% despite raised 2026 guidance, as investors weighed the impact of tightening DUV export restrictions to China. In private markets, demand for AI assets has pushed Anthropic’s speculated valuation toward US$800 billion, as revenue run-rate tripled to US$30 billion since late last year. Cerebras is reportedly entering the public arena with a US$35 billion IPO valuation. The company also signed a US$20 billion compute deal with OpenAI. Amazon is making a strategic US$11 billion move to acquire Globalstar, which could position its LEO satellite network to challenge Starlink’s direct-to-cell dominance by 2027. Meta is projected to surpass Alphabet as the world’s largest ad player this year, reaching US$243 billion in net revenue. This shift is being fueled by AI-driven recommendation improvements in Reels. Allbirds announced plans to abandon footwear for AI chip services, rebranding as NewBird AI. In news pertaining to Sophic clients, Kraken Robotics delivered record 2025 results with $102.2 million in revenue. 01 Quantum is set to demonstrate its IronCAP-based “Quantum AI Wrapper” on April 22, targeting the intersection of FHE and post-quantum cryptography. Replenish Nutrients secured $250,000 in non-dilutive Sustainable CAP funding to accelerate the commercial scale-up of its Beiseker facility.

Despite a very unpredictable news environment, markets had a good week especially in AI related names. Last week, Dow Jones rose 3%, S&P 500 gained 3.6%, Nasdaq composite was up 4.7% U.S. venture fundraising showed signs of a rebound in Q1 2026, reaching US$47.8 billion, though capital remains concentrated in a few mega-firms. Anthropic reportedthat annualized revenue surged to US$30 billion, a 58% increase since February, while its valuation reached US$350 billion. Anthropic recently completed a share tender offer, but employees sold fewer shares then expected, signaling an expectation of future valuation increases. Anthropic announced on Tuesday that it will be providing access to its unreleased Claude Mythos model to more than 40 organizations, including Apple, JPMorgan Chase and the Linux Foundation, so they can test their software for security vulnerabilities. Federal Reserve Chair Powell and Treasury Secretary Bessent summoned leaders of major U.S. banks, to discuss the cybersecurity risks from Claude Mythos, sending software stocks lower in the week. OpenAI CFO Sarah Friar expressed some concerns over the company’s 2026 IPO readiness. Concerns are also mounting that a massive US$75 billion SpaceX listing could “suck the oxygen” out of the 2026 IPO market. In Canada, Blackline Safety entered a definitive agreement to be acquired by Francisco Partners for up to $850 million ($9.00–$9.50 per share), representing a significant premium. Stack Capital closed an upsized $31.25 million private placement, totaling $40 million in gross proceeds. In news pertaining to Sophic clients, Kraken Robotics successfully demonstrated its KATFISH autonomous launch and recovery system. Replenish Nutrients appointed Steven Glover, FCPA, as Special Advisor and Director nominee, adding significant governance and audit expertise as the company transitions toward high-margin granulation. Sophic Capital believes Cybeats could be positioned to benefit from the “AI Paradox”, as the company provides the essential SBOM management layer required to handle the resulting high volume of recent AI discovered 0-day vulnerabilities.