Weekly Investment News and Analysis

Last week, Dow Jones gained 1.3%, S&P 500 rose 1.5%, and Nasdaq composite was up 1%. Next week, Microsoft, Meta, Amazon, and Apple will all report earnings. Comments on AI monetization and capital spending will likely set the tone for large tech stocks, and the broader market. Several prominent companies moved toward IPOs amid rising investor optimism. Figma set its IPO price range between US$25-$28 per share, targeting a valuation around US$16 billion, slightly below Adobe’s earlier US$20 billion bid. Crypto custody firm BitGo and tax software provider Avalara both confidentially filed for IPOs, signaling renewed confidence in public market conditions. Nasdaq CEO Adena Friedman echoed this sentiment, citing strong performance by recent large-cap listings, including Chime and CoreWeave, as driving optimism through 2026. The AI sector attracted significant financings as AI startups raised US$104 billion in the first half of 2025, driven by OpenAI’s historic US$40 billion round and Meta’s US$14.3 billion investment in Scale AI. OpenAI also revealed itself as the client behind Oracle’s massive US$30 billion annual data-center services contract, underpinning its ambitious Stargate project. Alphabet significantly raised its capital expenditure forecast due to growing Cloud demand, and Tesla reported weaker-than-expected quarterly results as vehicle sales declined. Lastly, ServiceNow impressed investors with strong quarterly revenue growth fueled by increased adoption of AI-enhanced solutions, lifting its share price over 7%. Amazon acquired wearable AI startup Bee, highlighting ongoing interest in conversational AI, and Jeff Bezos is reportedly exploring acquiring CNBC. In Canada, Sophic Client, Cybeats Technologies announced a $3 million financing through a Beacon Securities-led LIFE offering, and Boardwalktech closed the second tranche of a private placement raising a total of around $750K. XTAO, successfully raised $31 million from digital-asset venture capitalists and commenced trading on the TSXV.

Last week, Dow Jones declined less than 0.1%, S&P 500 rose 0.6%, and Nasdaq composite gained 1.5%. Investors aggressively allocated funds into U.S. tech stocks at the fastest rate in 16 years, despite geopolitical tensions and market volatility. Nvidia became the first company to reach a valuation of US$4 trillion. Crypto asset manager Grayscale confidentially filed for a U.S. IPO, following Circle’s successful public debut. Elon Musk suggested Tesla shareholders would vote on whether to invest in his AI initiative, xAI, after reports surfaced regarding SpaceX’s planned US$2 billion investment into the same entity. Uber unveiled plans for significant investments in Lucid Motors and Nuro, collaborating on the deployment of over 20,000 robotaxis by 2026. Apple committed a US$500 million investment toward rare earth magnet production, partnering with MP Materials. Meta Platforms announced expansive multi-gigawatt data center projects in Ohio and Louisiana. Robinhood reported that nearly half of its new coding is generated by AI tools, highlighting swift adoption in software engineering. The past few weeks saw a revival of financing announcements in the Canadian innovation sector totalling nearly $200 million following an extended period of low activity. Sophic Capital client Kraken Robotics successfully completed a $115 million bought deal. BTQ Technologies closed a $40 million brokered LIFE financing. Volatus Aerospace announced two separate fully subscribed LIFE offerings totaling $15 million. Gatekeeper Systems (GSI-TSXV) initiated a $10 million bought deal private placement. Sophic client Plurilock Security secured a major $2.54 million AI cybersecurity contract with a NASDAQ-listed enterprise and was named a Certified Services Partner by global cybersecurity leader Forcepoint. EMERGE Commerce’s newly acquired golf brand Tee 2 Green (T2G) exceeded expectations, achieving 34% revenue growth and rapidly surpassing its upfront acquisition cost, reflecting robust synergies and targeted marketing execution. The Company also issued a positive Q2 pre-announcement, and held an investor update call.

Last week, markets held up narrowly in the face of ongoing geopolitical tensions, Fed meeting and triple witching Friday. Dow Jones was up fractionally, S&P 500 lost 0.15%, Nasdaq composite was up 0.2%. Global IPO activity has remained sluggish, with volumes down about 9.3% year-on-year to US$44.3 billion, driven by uncertainty from tariffs, volatility, and rising interest rates. Despite this, Asian markets, particularly China and Japan, showed strength, with CATL’s US$4.6 billion IPO marking the largest globally this year. Goldman Sachs resumed SPAC underwriting, reflecting easing regulatory pressures in the U.S., while crypto billionaire Justin Sun’s Tron announced plans to go public via a reverse merger with SRM Entertainment. Coinbase and Circle surged following the U.S. Senate’s passage of the landmark GENIUS Act to regulate stablecoins, boosting investor confidence in digital assets. Coinbase rose 16%, and Circle jumped 30%, significantly outperforming payment giants Visa and Mastercard, whose stocks fell amid concerns over potential disruptions from stablecoins. JPMorgan will launch a Dollar token on Coinbase’s blockchain. Meanwhile, major tech developments included Apple’s internal discussions on acquiring AI search startup Perplexity, valued at US$14 billion, and Elon Musk’s xAI burning US$1 billion monthly as it aggressively builds its AI models. Meta expanded its smart-glasses collaboration to Prada and Oakley brands, underscoring its wearable tech ambitions. Microsoft prepared for thousands more layoffs primarily in its sales division, continuing a broader restructuring strategy. In Canada, Sophic Capital client, Kraken Robotics announced a substantial $100 million bought-deal financing to accelerate global expansion, acquisitions, and bolster its balance sheet, highlighting its transition into a prime global contractor. Boardwalktech raised ~$400K through a non-brokered private placement, strengthening its financial position. Cybeats highlighted a major market inflection point as the EU formally adopted mandatory SBOM data exchange requirements, positioning Cybeats to capitalize significantly across 27 EU countries.

Last week, as geopolitical tensions resurfaced once again, Dow Jones fell 1.3%, S&P 500 index lost 0.4%, and Nasdaq composite was down 0.6%. Voyager Technologies’ IPO surged 82%, reflecting strong investor appetite for space technology stocks. Crypto exchange Bullish confidentially filed for a U.S. IPO, continuing the trend set by Circle’s recent blockbuster debut. Meta finalized a substantial US$14.3 billion investment in Scale AI to accelerate superintelligence development. Databricks projected reaching US$3.7 billion annual revenue. Qualcomm announced it would acquire semiconductor firm Alphawave Semi for US$2.4 billion to bolster its data center capabilities, while DoorDash acquired Symbiosys for US$175 million to enhance its ad technology platform. OpenAI, despite competition, opted to rent chips from Google Cloud to expand its AI computing capabilities. OpenAI claims to have hit US$10 billion in annual revenue, and according to Sam Altman, AI will be able to have ‘novel insights’ next year. Nvidia’s CEO confidently predicted competitors’ AI chip projects would likely be canceled given Nvidia’s accelerating innovation. A more than two-fold gain in CoreWeave’s shares since the end of April has saddled short sellers with US$1.6 billion in paper losses. Snap plans to sell AR glasses in 2026. Walmart, Amazon, Expedia and other companies have explored whether to issue their own stablecoins in the US. Shopify announced it will be integrating stablecoin payments through partnerships with Coinbase and Stripe, marking a significant crypto expansion slated to roll out widely later this year. Thinkific announced a $13 million secondary share offering. In news pertaining to Sophic Capital clients, Boardwalktech renewed a key multi-year agreement with a major U.S. bank, expanding the use of its Velocity product, which has demonstrated strong ROI potential, further attracting other banks including entering proof-of-concept stages in Mexico.

Markets closed the week up, despite the social media drama between Musk and Trump. Dow Jones was up 1.2%, S&P 500 closed up 1.5%, Nasdaq composite gained 2.2%. IPO momentum strengthened, with Circle surging 180% in its debut, and Gemini filed confidentially for an IPO. Banking app Chime set a tentative IPO valuation around US$10.7 billion, while Voyager Technologies aims for a US$1.6 billion IPO valuation. Despite these bright spots, enterprise software IPO activity has remained muted, constrained by valuation challenges. Singapore’s sovereign fund Temasek notably reduced startup investments significantly, shifting toward lower-risk assets. Meanwhile, Elon Musk’s xAI prepared a US$300 million secondary share sale at a valuation of US$113 billion. SpaceX is on track for US$15.5 billion revenue. Samsung is close to a deal to invest in Perplexity and put the AI startups’s search tech onto its phones. Meta aims to fully automate Ad creation using AI. Meta signed a nuclear power deal with Constellation Energy. Shares of data center developer Applied Digital rose 50% after the company said it leased part of a large facility to CoreWeave, a firm that rents out Nvidia chips to artificial intelligence developers. Amazon will test robots for delivering packages. Walmart and Wing will expand drone delivery to five more US cities. In Canada, Sophic Capital client, Ionik reported strong Q1 2025 results, highlighted by 62% Adjusted EBITDA growth. Plurilock announced record quarterly revenue growth and secured new critical-services contracts totaling $1.3 million, underscoring its leadership in cybersecurity services. Legend Power Systems received a follow-on order for four additional SmartGATE units, reinforcing customer adoption and margin expansion opportunities. Cybeats Technologies expanded its SBOM Studio contract with a Fortune 500 water infrastructure firm by 34%. AMD will acquire the engineering team from Toronto-based Untether AI. Crypto startup Rails raised US$14 million, launching its hybrid exchange platform to blend decentralized control with centralized performance.

Last week, Dow Jones rose 1.6%, S&P 500 gained 1.9%, Nasdaq composite rose 2%. For the month, Dow Jones rose 3.9%, S&P 500 gained 6.15% (best May return in 35 years), and the Nasdaq was up almost 10% (largest monthly gain since November 2023). That said, tariff related headlines once again pressured markets on Friday. Chime is targeting a US$11B IPO valuation, while Shein is now considering a Hong Kong IPO after regulatory delays in London. Discord, anticipating an IPO, introduced “Orbs,” virtual rewards designed to boost ad engagement. SoftBank proposed a joint US$300B U.S.-Japan sovereign wealth fund to finance technology and infrastructure projects. Salesforce will acquire Informatica for US$8B to bolster its AI capabilities. Nvidia forecasted a US$8B revenue hit from stricter U.S.-China export controls, despite robust growth elsewhere. The U.S. government also recently ordered American vendors that sell software for chip design to obtain export licenses first before selling to China. Mary Meeker, the most famous internet analyst of the dot-com boom era, says AI is growing faster than anything that came before it, in a new 340 page report. Meta and Anduril partnered to create VR devices for the U.S. military, while Anthropic’s CEO warned AI could eliminate half of entry-level white-collar jobs within five years, urging preparedness from government and industry leaders. Billionaire Chamath Palihapitiya has a blunt warning about quantum computing being able to break common encryption much sooner than expected. In Canada, Bell plans to invest hundreds of millions to build six AI-focused data centres. Sophic client, Kraken Robotics reported Q1 results and reiterated its full-year guidance, expecting significant revenue and EBITDA margin expansion driven by its recent subsea LiDAR acquisition and new subsea manufacturing facility in Nova Scotia. Sophic client, American Aires, reported record Q1 revenue of $5.38M, up 164% year-over-year. Management anticipates profitability improvement in upcoming quarters, reaffirming 2025 revenue guidance of $28M–$32M, and adjusted EBITDA guidance of $2M loss to a $2M profit.

Last week, Dow Jones fell 2.5%, S&P 500 lost 2.6%, Nasdaq composite was down 2.5%, as US tariff fears once again surfaced, and treasury yields rose earlier in the week. President Trump proposed a 25% tariff on imported Apple devices, pressuring domestic manufacturing. OpenAI acquired io, an AI-device startup by Jony Ive, for US$6.5 billion, with plans for AI “companions” potentially adding substantial value. Coreweave raised US$2 billion in bonds, showing strong investor appetite for AI infrastructure. Salesforce resumed acquisition talks with Informatica, while Nvidia criticized U.S. AI-chip restrictions, highlighting significant market share losses in China. Snowflake surpassed US$1 billion in quarterly revenue, buoyed by AI ambitions, and BYD overtook Tesla in European EV sales for the first time. Tesla released a compilation video Tuesday of its Optimus humanoid robots that it says autonomously performed a variety of tasks, including throwing a trash bag into a bin and vacuuming the floor. Google partnered with Warby Parker for AI-powered smart glasses, signaling competitive innovation against Meta and Apple. Apple is aiming to release its AI smart glasses next year. Nvidia introduced NVLink Fusion, allowing integration with third-party AI chips, while Google expanded AI-driven search capabilities to all U.S. users. Canada’s largest pension plan, CPPIB, increased its U.S. investment exposure to 47% despite domestic pressure to allocate more to Canadian assets, driven by better returns (9.6% in the U.S. vs. 5.8% domestically over five years). In Canada, Shopify launched new AI tools, including an AI-powered storefront builder and upgraded Sidekick commerce assistant, emphasizing enhanced merchant experiences and efficiency. In news pertaining to Sophic Clients, Kraken Robotics secured over $3 million in orders. Legend Power Systems reported strong Q2 F2025 revenue growth ($523K vs. $124K), driven by its SmartGATE™ power management system and strategic orders, though higher costs led to a wider net loss.

Last week, Dow Jones rose 3.4%, S&P 500 was up 5.3%, Nasdaq composite gained 7.15%. eToro’s stock surged 34% following its Nasdaq IPO, marking renewed investor enthusiasm after recent market volatility. Banking app Chime revealed accelerated revenue growth of 32% in Q1, bolstering prospects for its imminent IPO. Perplexity is discussing raising US$500 million at a US$14 billion valuation, reflecting growing investor confidence in its AI-driven search capabilities. Nvidia and AMD announced significant AI chip deals with Saudi Arabia, capitalizing on relaxed U.S. export restrictions. Coinbase will join the S&P 500 index even as the company reported a customer data breach potentially costing up to US$400 million. CoreWeave’s stock dropped 7% after cautious revenue guidance, despite explosive growth, underscoring investor sensitivity to volatility in AI infrastructure spending. Google ‘super intensely’ debated buying Netflix, according to Google’s CEO. CrowdStrike’s CEO gave away 92% of his voting power. OpenAI said Friday it released an artificial intelligence coding “agent” that can automate software engineering tasks such as fixing bugs and answering questions about a codebase. Google is also working on AI agents, and other features. In Canada, Robinhood agreed to buy WonderFi for $250 million. Shopify shares jumped 18% after announcing its inclusion in the Nasdaq 100 Index. Cohere missed its revenue targets by 85%, highlighting slower-than-expected enterprise AI adoption. Canadian VC activity slowed sharply, with Q1 seed-stage deals hitting a pandemic-era low and exits virtually halted amid trade uncertainty. In news pertaining to Sophic Capital clients, Intermap reported robust Q1 results, growing revenue to $4.3 million from $1.7 million last year, driven by acquisitions and large government mapping contracts. The company reaffirmed 2025 guidance, targeting revenues of $30-35 million with a 28% EBITDA margin. Boardwalktech formed new strategic partnerships and strengthened its advisory board. Cybeats enhanced its SBOM Studio cybersecurity platform with AI-driven features, earning recognition from Canadian government-backed initiatives. American Aires expanded its NASCAR sponsorship.

Last week, Dow Jones fell 0.2%, S&P 500 lost 0.5%, Nasdaq composite was down 0.3%. eToro is targeting a US$4 billion valuation in its U.S. IPO, aiming to raise up to US$500 million amid improving market conditions. CoreWeave, which faced investor concerns over its heavy debt during its recent IPO, and reduced its IPO target from US$2.7 billion to US$1.5 billion is now exploring additional debt financing. OpenAI abandoned plans to fully separate its for-profit subsidiary from its nonprofit parent after legal challenges, opting instead to restructure into a public benefit corporation. DoorDash expanded internationally through a US$3.8 billion acquisition of Deliveroo and a US$1.2 billion purchase of hospitality software firm SevenRooms. Palantir raised its full-year guidance following strong Q1 results, driven by surging demand for AI analytics software. AMD reported robust 36% quarterly revenue growth fueled by its data-center business, despite ongoing competition from Nvidia. Super Micro issued weak guidance, citing ‘economic uncertainty and tariff impacts’. Rivian cut its 2025 delivery forecast amid tariff-driven disruptions. Disney reported ad revenue gains driven by live sports. Apple announced plans to integrate AI-powered search into Safari, threatening Google’s dominance, while also hinting AI could eventually replace the iPhone within a decade. Apple is also reportedly planning to introduce Meta Ray-Ban style smart glasses around 2027. Uber expanded its robotaxi partnerships. Robinhood plans to launch a blockchain-based platform enabling European investors to trade U.S. securities, underscoring fintech’s growing global reach. In Canada, Shopify reported strong Q1 earnings, posting revenue of US$2.36 billion, a 27% increase y/y despite ongoing trade tensions. Sophic Capital Client, Kraken Robotics subsidiary 3D At Depth completed its 1,000th subsea metrology project, showcasing advanced LiDAR technology and operational efficiency.

Last week, Dow Jones rose 3%, S&P 500 gained 2.9%, Nasdaq composite was up 3.4%. Tesla’s Chair denied reports of a plan to look for new CEO. Jeff Bezos plans to sell up to US$4.75 billion worth of Amazon shares over the next 12 months. Amazon successfully launched its first Project Kuiper satellites. Waymo and Toyota are exploring a partnership to develop an autonomous vehicle platform for personally owned vehicles. Meta Platforms on Tuesday released a standalone smartphone app for its Meta AI assistant. Apple has officially approved the first app with links to external payment options in the United States with Spotify. Apple also further shifted its supply chain away from China, significantly increasing reliance on U.S.-manufactured chips and expanding iPhone production in India. OpenAI is incorporating more shopping features into ChatGPT search results. Visa launched AI agent payments tools. Temu has discontinued its direct-from-China shipping model. In news pertaining to Sophic clients, Kraken Robotics grew 2024 revenue 31% y/y to $91.3 million, driven by subsea battery sales, with net income rising sharply to $20.1 million from $5.5 million. Kraken also announced new orders totaling nearly $60 million and the opening of a Nova Scotia production facility in 2025. Ionik reported a 28% increase in annual revenue to US$179.1 million. American Aires achieved a quarterly sales record of $8.6 million in Q4 (130% increase y/y YoY). Aires reaffirmed 2025 guidance projecting revenues of $28–$32 million and EBITDA of $2 million loss to a $2 million gain. Plurilock reported annual revenue at $59.1 million, driven by software and services, improving gross margin to 13.1% from 8.5%. Legend Power Systems secured a significant repeat order for eight additional SmartGATE systems, highlighting strong customer ROI and operational benefits. Cybeats expanded its cybersecurity contracts with Emerson Electric and renewed a key deal with a major U.S. security agency, emphasizing increasing demand for software supply chain security.

Last week, Dow Jones rose 2.5%, S&P 500 gained 4.6%, and Nasdaq composite was up 6.7%. Megacaps, like Meta, Microsoft, Apple and Amazon still are below recent highs and their upcoming earnings reports this week will provide insight into numerous demand drivers, including cloud computing spend, AI capex, e-commerce, advertising, consumer tech demand — and of course tariff impacts. Neuralink is seeking US$500 million at an US$8.5 billion valuation, intensifying competition in brain-computer interfaces. Alphabet reported steady Q1 revenue growth of 12%, despite slowing search revenue amid rising AI competition from OpenAI’s ChatGPT. ServiceNow exceeded revenue forecasts, driven by software subscriptions and internal AI efficiencies, boosting its stock after-hours. Tesla faced a challenging quarter, with profits plunging 66% due to reduced automotive sales and controversial CEO Musk’s political affiliations. Apple plans to shift all U.S.-sold iPhone production to India by 2026, reducing reliance on China amid escalating tariffs. Intel will reportedly cut over 20% of staff amid ongoing restructuring. Boeing has agreed to sell parts of its digital aviation unit to private equity group Thoma Bravo for US$10.55 billion. Amazon’s competitor to SpaceX’s Starlink, known as Project Kuiper, is struggling to scale up production of its satellites to hit a key U.S. government deadline. In regulatory news, Google abandoned its cookie-removal plan, while the EU fined Apple and Meta Platforms under new digital competition laws. FTC sued Uber over alleged deceptive billing practices related to its Uber One subscription. Temu and Shein increased U.S. prices ahead of tariff changes, reflecting ongoing trade uncertainties.In Canada, investment bankers applauded new securities rules aimed at reinvigorating the IPO market. In Sophic Capital client news, Cybeats announced its participation at the upcoming RSAC™ 2025 Conference, highlighting its SBOM Studio cybersecurity platform. Cybeats also expanded its SBOM Consumer product, entering new sectors such as healthcare, finance, energy, telecom, and defense, and launching pilots with a U.S. defense agency and Orange S.A.

Last week, Dow Jones fell 2.7%, S&P 500 lost 1.5%, Nasdaq declined 2.6%. U.S. startup funding surged 116% Y/Y to US$91.5 billion in Q1 2025, dominated by AI startups including OpenAI, Anthropic, and Grok. Figma confidentially filed for an IPO after its failed acquisition by Adobe, boasting an annual recurring revenue of US$900 million. Autonomous trucking firm Kodiak Robotics announced a SPAC merger, valued at US$2.5 billion, backed by investors ARK and Soros Fund Management. Nvidia anticipates a US$5.5 billion charge due to new U.S. restrictions on AI chip sales to China, creating uncertainty despite earlier tariff exemptions. ASML missed quarterly order expectations amid similar tariff uncertainty, although demand for AI-driven chipmaking remains robust. TSMC reported strong Q1 revenues and profits, seeing no immediate impact from U.S. tariffs but cautioned future clarity. Tesla’s California EV market share dipped below 50%, impacted by political controversies surrounding CEO Elon Musk. Palantir secured a significant AI software contract with NATO for military intelligence processing. California considered legislation lifting its nuclear power moratorium to support energy-intensive AI data centers. Google faces potential dismantling of its ad-tech monopoly following an antitrust ruling. Meta Platforms’ share of the amount of time people spend on social media apps has “declined…potentially meaningfully,” Meta Platforms CEO Mark Zuckerberg testified on Wednesday afternoon. In Canada, in news pertaining to Sophic Capital clients, Kraken Robotics was highlighted as a hot pick in Canadian small caps by a portfolio manager. Plurilock provided a corporate update, emphasizing a strategic shift towards high-margin software solutions and expanding commercial markets for cybersecurity.