With authorities spending on IT and tech persevering with to rise, questions across the impacts of investments have turn into extra urgent.
Nancy Tengler, CEO and CIO at Laffer Tengler Investments, explains on the Morning Temporary that whereas authorities effectivity would possibly enhance, it’ll drive demand for applied sciences that increase productiveness.
“I feel on the margin the place we will see spending, and we have seen it with Palantir (PLTR), is that the federal government goes to essentially concentrate on spending effectively — which suggests productivity-improving applied sciences,” Tengler says.
Tengler highlights that as the federal government seems to chop jobs, it’ll depend on corporations like ServiceNow (NOW) and Nvidia (NVDA) to fill the hole. Concerning Intel (INTC), Tengler expresses doubt in regards to the AI semiconductor producer’s future, stating, “I simply fear that this firm is up to now behind. Are you able to make cash on a commerce? I feel you may. Are you able to make cash for the long run? I don’t suppose so.”
She compares Intel’s struggles beneath former CEO Pat Gelsinger to Xerox Holdings’ (XRX) failure to capitalize on key improvements, to which Tengler believes there are higher funding alternatives elsewhere.
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This publish was written by Josh Lynch
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