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ASX dividend shares: How to snowball your passive income

If you’re a fan of dividend investing as a share market strategy, you might have heard of the term ‘snowball’ to describe the process of building up a stream of passive income from ASX dividend shares.

It refers to the obvious reputation of a snowball rolling down the hill, growing exponentially larger as it collects ever more snow. It’s an apt metaphor for how successful dividend investing can work.

The process is simple. First, an investor buys an ASX dividend share that consistently pays out income every six months (or every quarter or every month in some cases).

The investor then adds to the position when they can. But they also reinvest any dividends they receive back into buying more shares. Now that the investor has more shares to their name, the next time a dividend is paid out, they receive even more dividend income. The process is repeated, and the snowball grows ever larger. Eventually, it will be so large that it can help make our investor fabulously wealthy, and perhaps even fund an early retirement.

That’s the idea, anyway.

But today, I thought it would be worthwhile to go through how this might actually look in action.

How to get your ASX dividend snowball rolling

We’ll use a hypothetical company for this exercise, just to keep things simple. We’ll assume that our company starts at $1 per share, and pays out a 4 cents per share dividend in its first year, which we will dutifully reinvest to buy more shares.Â Every year, its dividend will increase by 4%, and its share price by 5%, which is roughly in line with what the S&P/ASX 200 Index (ASX: XJO) has historically delivered.

After investing a hypothetical ‘life savings’ of $15,000 in our first year, we committed to buying an additional 3,000 shares every year. Our rising salary from our day jobs will hopefully help in this regard, given that the cost of buying 3,000 shares will go up 5% annually.

Here’s what it looks like if an investor follows this pattern for 35 years:

Year	Share price	Dividend per share	Shares added	Shares owned	Dividend cash flow
1	Â $Â Â Â Â Â Â Â Â 1.00	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.04	0	15,000	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 600.00
2	Â $Â Â Â Â Â Â Â Â 1.05	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.042	571	18,571	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 772.57
3	Â $Â Â Â Â Â Â Â Â 1.10	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.043	701	24,272	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 1,050.11
4	Â $Â Â Â Â Â Â Â Â 1.16	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.045	907	30,179	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 1,357.90
5	Â $Â Â Â Â Â Â Â Â 1.22	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.047	1,117	36,296	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 1,698.47
6	Â $Â Â Â Â Â Â Â Â 1.28	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.049	1,331	42,627	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 2,074.50
7	Â $Â Â Â Â Â Â Â Â 1.34	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.051	1,548	49,175	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 2,488.90
8	Â $Â Â Â Â Â Â Â Â 1.41	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.053	1,769	55,944	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 2,944.74
9	Â $Â Â Â Â Â Â Â Â 1.48	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.055	1,993	62,937	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 3,445.36
10	Â $Â Â Â Â Â Â Â Â 1.55	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.057	2,221	70,158	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 3,994.27
11	Â $Â Â Â Â Â Â Â Â 1.63	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.059	2,452	77,610	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 4,595.28
12	Â $Â Â Â Â Â Â Â Â 1.71	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.062	2,687	85,297	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 5,252.43
13	Â $Â Â Â Â Â Â Â Â 1.80	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.064	2,925	93,222	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 5,970.04
14	Â $Â Â Â Â Â Â Â Â 1.89	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.067	3,166	101,388	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 6,752.73
15	Â $Â Â Â Â Â Â Â Â 2.00	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.069	3,376	109,764	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 7,603.04
16	Â $Â Â Â Â Â Â Â Â 2.10	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.072	3,620	118,385	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 8,528.16
17	Â $Â Â Â Â Â Â Â Â 2.21	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.075	3,868	127,252	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 9,533.65
18	Â $Â Â Â Â Â Â Â Â 2.32	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.078	4,118	136,370	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 10,625.41
19	Â $Â Â Â Â Â Â Â Â 2.43	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.081	4,371	145,741	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 11,809.77
20	Â $Â Â Â Â Â Â Â Â 2.55	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.084	4,627	155,367	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 13,093.43
21	Â $Â Â Â Â Â Â Â Â 2.68	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.088	4,885	165,253	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 14,483.56
22	Â $Â Â Â Â Â Â Â Â 2.81	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.091	5,147	175,399	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 15,987.78
23	Â $Â Â Â Â Â Â Â Â 2.95	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.095	5,411	185,810	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 17,614.18
24	Â $Â Â Â Â Â Â Â Â 3.10	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.099	5,677	196,487	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 19,371.39
25	Â $Â Â Â Â Â Â Â Â 3.26	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.103	5,946	207,433	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 21,268.58
26	Â $Â Â Â Â Â Â Â Â 3.42	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.107	6,218	218,651	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 23,315.50
27	Â $Â Â Â Â Â Â Â Â 3.59	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.111	6,491	230,142	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 25,522.51
28	Â $Â Â Â Â Â Â Â Â 3.77	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.115	6,768	241,910	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 27,900.62
29	Â $Â Â Â Â Â Â Â Â 3.96	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.120	7,046	253,956	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 30,461.52
30	Â $Â Â Â Â Â Â Â Â 4.16	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.125	7,326	266,282	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 33,217.63
31	Â $Â Â Â Â Â Â Â Â 4.37	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.13	7,609	278,891	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 36,182.14
32	Â $Â Â Â Â Â Â Â Â 4.58	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.135	7,893	291,784	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 39,369.03
33	Â $Â Â Â Â Â Â Â Â 4.81	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.140	8,179	304,963	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 42,793.14
34	Â $Â Â Â Â Â Â Â Â 5.05	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.146	8,467	318,430	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 46,470.23
35	Â $Â Â Â Â Â Â Â Â 5.31	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 0.152	8,757	332,188	Â $Â Â Â Â Â Â Â Â Â Â Â Â Â Â 50,416.98

Passive income compounding in action

As you can see, the effects of compounding start slowly, but become more and more powerful as time goes on. To illustrate, between our first and second year, our investor only got a $172.57 passive income pay rise. But between years 34 and 35, the increase was worth almost $4,000 alone.

Another thing to note is that our investor laid down just over $285,000 in capital over this 35-year period. Yet by the end of it, they had a portfolio worth $1.76 million, spitting out more than $50,000 in passive income annually. That’s your snowball in action.

Finally, it is worth noting that this model assumes many things for the benefits of simplification, which aren’t accurate to real-life investing. For one, share prices do not go up like clockwork every year. Nor do dividend payments in most cases. One year might see a share rise 12%, only to fall by 8% the next. But for quality companies, and every ASX index fund, the long-term trajectory has always been up. As you can see above, the sooner you start investing in quality stocks or index funds, the wealthier you will be, and the more passive income you will bring in.

The post ASX dividend shares: How to snowball your passive income appeared first on The Motley Fool Australia.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the ‘five best ASX stocks’ for investors to buy right now. We believe these stocks are trading at attractive prices and Scott thinks they could be great buys right nowâ¦

See the 5 Stocks

* Returns as of 18 November 2025

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Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

4 December 2025

3 high-yield ASX dividend stocks that are screaming buys right now
After multiple rate cuts by the RBA in 2025, I think this could be a good time to look at high-yield ASX dividend stocks for income.

Term deposit interest rates have reduced, making the yields on offer from some businesses much more appealing.

Some businesses with higher yields can be a risk if those payouts are cut. What’s the appeal of an ‘income stock’ if the income suddenly drops significantly or disappears entirely? I think the three stocks below have large and consistent dividends.

GQG Partners Inc (ASX: GQG)

GQG is one of the largest fund managers on the ASX, which provides investors with four main strategies: US shares, global shares, international shares (excluding the US) and emerging market shares.

In recent times, GQG has been defensively positioned with its funds’ portfolios because of worries about AI-related valuations. It has recently been vindicated by that decision with plenty of tech/growth stocks falling back. Prior to that, GQG’s funds had a long-term track record of outperforming its benchmarks.

I think the ASX dividend stock is still significantly undervalued after rising more than 20% in less than a month. It currently has an annualised dividend yield of 12.7% based on the latest announced quarterly dividend and it’s trading at 7x its annualised distributable profit, which I think is very cheap if its funds under management (FUM) grows over the long-term.

Shaver Shop Group Ltd (ASX: SSG)

Shaver Shop sells a wide variety of male and female premium shaving items from its store network of more than 120 stores.

The company’s position in the market means that it has been able to secure a number of exclusive agreements with certain shaving brands, giving customers more of a reason to shop at the stores.

Excitingly, the high-yield ASX dividend stock is rolling out products for its own brand called Transform-U to fill gaps in Shaver Shop’s item “range of quality, performance and/or price point driven”. Transform-U is steadily adding new products to its range, which generates a higher gross profit margin.

On the dividend side of things, it increased its dividend every year since 2017, aside from FY24 when it maintained the dividend. It grew the annual dividend per share to 10.3 cents in FY25, translating into a grossed-up dividend yield of 9.9%, including franking credits.

Rivco Australia Ltd (ASX: RIV)

Rivco Australia (formerly know as Duxton Water Ltd) is a company that owns water entitlements which are leased to irrigators on short or long-term leases.

I like this high-yield ASX dividend stock as a way to indirectly invest in the Australian agricultural sector, which is an important part of the economy.

It can benefit from both the leasing income and a potential rise in the value of water entitlements over time.

Pleasingly, the business has increased its half-year payout every six months since 2017. Its latest paid dividends equate to a grossed-up dividend yield of 7.25%, including franking credits.

The post 3 high-yield ASX dividend stocks that are screaming buys right now appeared first on The Motley Fool Australia.

Should you invest $1,000 in GQG Partners Inc. right now?

Before you buy GQG Partners Inc. shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and GQG Partners Inc. wasn’t one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys…

See the 5 Stocks

* Returns as of 18 November 2025

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Motley Fool contributor Tristan Harrison has positions in Rivco Australia. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Gqg Partners and Shaver Shop Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
4 December 2025
1 compelling reason to buy Meta hand over fist right now
This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.
Key Points
- Meta is known for its social media leadership, and itâs also building a strong presence in artificial intelligence.
- The company has the strength to pay investors a dividend and invest in growth.
Meta Platforms (NASDAQ: META) is a company many of us have close contact with daily. That’s because it’s the owner of some of the world’s most commonly used apps: Facebook, Messenger, Instagram, and WhatsApp. About 3.5 billion people around the globe use at least one of these daily.Â

The tech giant doesn’t consider itself just a social media company, though. In recent years, it’s made major steps in the world of artificial intelligence (AI) — for example, it’s developed its own large language model, and this tool powers certain Meta products, like the company’s AI assistant.

So, owning Meta stock offers you access to a social media titan as well as a potential winner in the exciting field of AI. But should you wait to get in on this player? No — Here’s one compelling reason to buy Meta shares hand over fist right now.

A solid earnings track record

It’s important to note that Meta’s well-established social media business has helped it produce a long history of earnings growth. Advertisement across Meta’s apps drives revenue, as many sorts of businesses sign up for ads to reach us where they know they’ll find us — on these social media platforms. In the recent quarter, advertising revenue climbed about 25% to $50 billion.

In fact, Meta’s financial picture is so strong that the company is able to expand and invest in AI as well as pay shareholders a dividend.

While AI represents a considerable investment for Meta today, this effort could deliver big down the road. Meta is using AI to improve the overall advertising experience and boost the capabilities of its apps to keep users on them longer — all of this should encourage advertisers to keep coming back to Meta and even increase their ad spending. Finally, the investment in AI could lead to additional products and services that may expand revenue streams in the coming years.

Why buy now?

All of this makes Meta a fantastic stock to own well into the future. But why buy now? Right now, Meta is the cheapest of the Magnificent Seven tech stocks that have driven the S&P 500 to record highs in recent years.

Meta trades for 24x forward earnings estimates, which looks cheap relative to peers and also seems very reasonable considering the complete Meta package.

META PE Ratio (Forward) data by YCharts

This is particularly noteworthy today as investors worry about the formation of an AI bubble, as valuations of many AI stocks have exploded higher. Meta, trading at these levels, looks much less vulnerable than players that are trading at lofty valuations.

This, along with Meta’s strengths in social media and AI ambitions, makes it a stock to buy hand over fist right now.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.
The post 1 compelling reason to buy Meta hand over fist right now appeared first on The Motley Fool Australia.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Should you invest $1,000 in Meta Platforms right now?

Before you buy Meta Platforms shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Meta Platforms wasn’t one of them.

The online investing service heâs run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys…

See the 5 Stocks

* Returns as of 18 November 2025
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Adria Cimino has positions in Amazon and Tesla.Â The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, and Tesla. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool Australia has recommended Alphabet, Amazon, Apple, Meta Platforms, Microsoft, and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
4 December 2025
Citi dropped its 2025 managing director class — we have the full list of 276 new MDs
Jane Fraser

John Lamparski/Getty Images
- Citi named 276 new managing directors on Wednesday, the bank's highest rank below the C-suite.
- This year's class is about 20% smaller than 2024's 344 promotions.
- Business Insider has the full list of newly promoted managing directors.
Citi has a new group of senior leaders joining its highest ranks.

On Wednesday, the bank announced 276 managing directors, elevating the class of leaders to its highest rank below the C-suite.

This year's class includes 55 promotions in markets, 45 in banking, 40 in wealth, and 33 in services, the bank's unit that helps clients manage and move money globally. The promotions reflect the firm's strong year in the markets and its push to drive more growth from banking, wealth, and its unique services business — all three of which have undergone major revamps in recent years.

The class is about 20% smaller than Citi's last cohort of promotes — the 344 employees it elevated to MD in 2024, the largest class since Jane Fraser became CEO. That group leaned heavily toward markets, wealth, and tech roles. But the drop-off makes this the smallest MD class since 2020, when the bank promoted 241 people. In 2023, it announced 304 new MDs; in 2022, 331; and in 2021, 306.

"Their promotions arrive after a year that asked a lot from all of us as we raised our performance and pushed ahead on the work that will define Citi's next chapter," the executive management team members — including CEO Jane Fraser — wrote in an internal memo viewed by Business Insider.

"Each of these new MDs played a meaningful role in that progress. They led teams through a fast-moving environment, kept focus on what mattered most, and helped turn strategy into action," the memo continued, citing their contributions as helping to accelerate Citi's "steps toward becoming an AI-enabled bank with smarter operations and a clearer foundation for growth."

A Citi spokesperson told Business Insider that the number of promotions varies each year, "taking into account the firm's skill and leadership needs, attrition, external hiring, and other relevant considerations."

On Wednesday morning, Citi marked the annoucements with "roll call" gatherings across its business units — some in person, others remote — a tradition the bank has expanded in recent years. Members of the executive management team led a call with the newly promoted group to share advice, then held their own roll calls within their divisions to read the names aloud.

The promotions come as Citi continues a multiyear effort to simplify its structure, strengthen risk and control functions, and invest in a large-scale tech turnaround.

The bank's strategy

The overhaul has reshaped its leadership and reorganized significant parts of the bank. In recent years, Fraser brought on star executives like former JPMorgan dealmaker Viswas Raghavan, as executive vice chair, to turn the firm's investment banking operations around.

The firm has made significant gains in the past 12 months in sectors like investment banking — which saw a 23% year-over-year bump in fees to $1.15 billion in the third quarter — and its markets unit, which handles trading, experienced a 15% bump.

The new 2025 managing directors come from 21 countries and represent 32 nationalities, the bank said. Two-thirds are multi-lingual, and 30% have worked in at least two countries for Citi. They have a median of 16 years of experience at the firm, and 20 years in financial services overall. Twenty-three percent joined Citi through an early-career program, the bank added.

Nearly half — 134, or almost 49% of the class — are based in North America; 18% in the UK; followed by nearly 10% in Japan, north Asia, and Australia. The rest are dispersed in other regions.

Below is the full list of Citi's newly promoted managing directors.

Banking (45)

Ram Anand

Siddharth Bansal

Irina Berg

Aaron Bloch

Thomas Brancourt

Sarah Briddon

Matteo Casadei

Ricardo Celayeta

Varun Chokhani

Alexios Coscoros

Nick J Dragisic

Samuel H Eisner

Sascha Hahn

Thomas Holsten Leren

Jun Hong

Keng Huat Koay

Terry Koizou

Brian Krieger

Piotr Krupa

Jonathan Laycock

Minha Lee

Ryan Li

Menzi Lukhele

Christopher Marino

David Moreno

Koyu Mori

Victor Mourad

Janusz Nelson

Milan Ninkov

Daniel O'Czerny

Vineet Puri

Ifti Qurashi

Shirley Riches

Raimund Riedl

Alfonso Saturno

Michael Seidenfeld

Dhruv Sethi

Pei Pei Sim

Sam Sun

Steven Thompson

Nisheeth Ranjan Tripathi

Mimi Tse

Vineet Vetts

Stephen White

Saad Zaman

Chief Operating Office (7)

Babar Ahmed

Traci Brooks

Sheetal Chanderkar

David Noyce

Scott L Phillips

Brett Russo

Sana Sayed

Client (18)

Eugene Belostotsky

Vanessa Bernardino

Yogesh Bhatt

Tom Cerasoli

Nedra Nichelle Collins

Alexander Guffanti

Jeffrey Kurges

Eric O Ligan

Beata Manthey

Andre Mazini

Jyothi Narayanan

Caio Patricio

Monique Pollard

Vibhor Rastogi

Arthur Smith

Hana Uddin

David M Wollin

Kyna Wong

Enterprise Services and Public Affairs (1)

Rula Dajani

Finance (12)

Tristan Clark

Eric Haugk

Jai Maxwell

Diego Miyake dos Santos

Ney Peralta

Robert Sabochick

Watcharee Thitibordin

Ben Vance

Sharan Wadhwa

Hua Wang

Jon Warren

Matt Welsh

Global Legal Affairs & Compliance (17)

Maitane Arozena

Jonathan Barkey

Sandra Behar

Soumyajyoti Bose

Jessica Britton

Mark DeAngelis

Robert Ehrlich

Rick Gambs

Omar Garduño Chavero

Lindsay Gatto

Justin Marc Irwin

Bruno Kumi

Fiona Mahon

Valerie Nezianya

Abhimanyu Singh Poonia

Rahul Dev Sharma

Ann-Katrin Wilczek

Human Resources (3)

Victoria Hooker

Jacqueline Lucas

Marc Polinsky

Internal Audit (2)

Cedrick Parize

Amine Trifi

International (2)

Jay Jhala

Malcolm Munoz

Legacy Franchises (7)

Eduardo Allegre Marquez

Robert Baltazares

Alejandro Díaz Romo

Larissa Garduño

Sreekanth Malisetti

Xavier Villalobos

Carlos Zamudio

Markets (55)

Omar Ahmed

Eric Bakkensen

Miles Patrick Bartholomew

Thomas Baud

Kanika Berry

Thomas Beviss

Stefania Calabretta

Alex Chiew

Sangini Chopra

Dominique de Peyrecave

Lindsay DeChiaro

Gaurav Dhingra

Matthew Doyle

Ryan Ellis

Michael Fielder

Troy Fraser

Brian Fugazy

Tom Gallagher

Ben Gardiner

Sean Garvey

Ting Guo

Tom Heslop

Kyle Higgs

Vito Hinora

Stuart Kaiser

Ryutaro Katano

Christina Keeler

Kemal Keskin

Ray King

Giovanni Laureri

Dessislava Lazarova

Hyungjoo Albert Lee

Sunny Li

Noah Mao

Liam McShane

Deepak Mehra

Loubna Moutai

Hooi Wan Ng

Truong Nguyen

Andrea Olivari

Sebastian Palacio

Jennifer Podurgiel

Yash (Shreyash) Priyank

Diana Ribeiro

Bryant Schlichting

Nagaraja Shenoy

Byungnoh Sohn

Zhengyuan Sun

Thomas Szelestey

Michael Tamburrino

Henrique Utrini

Mandakini Vadher

Sean Walsh

Tadeusz Wysocki

Timothy Young En

Risk Management (11)

Ritesh Bansal

Shivani Datadin

Matt Fleet

Christian James

Lauren Karfonta

Elizabeth McAlpine

Shilpa Saroha

Charles Tao

Shantanu Upadhyay

Natalia Villazan

Yoyo (Xiaotong) Yan

Services (33)

Leena Aich

Lorna Ballard

David Bartlett

Ignacio Capparelli

Valentina Chuang

Patricia Corregiari

Rubin Kiran Dave

Arpit Desai

Virginie Dhouibi

Katie Dilaj

Katherine Earl

Meng Wei Feng

Brian Gauvain

Ganas Govender

Ilyas Khan

Nimit Khare

Xin Lin

Aneesh Kumar Mahajan

Jared Mecham

John Murphy

Mick Murray

Tony Nanez

Caitlyn Oster

Christopher Piparo

Andrew Quan

Christopher Ravn

Christoph Rosemeyer

Ernesto Sarria

Shalin Shroff

Rufus Southwood

Rodrigo Takaku

Will Thorne

Tanya McKnight Williams

Technology & Business Enablement (15)

Zak Bahri

Katie Fontana

Rama Gontla

Shantharam Iyer

Prashant Jain

Daniel Jepp

Alina Kamat

Konstantine Kos

Rajiv Mirjankar

Viral Patel

Kevin Peel

Namita Saran

Bhagavathi Satchithanantham

Nikhil Shah

Elvis Veliz

U.S. Personal Banking (8)

Matthew DiPisa

Rohan D'Souza

Promiti Dutta

Patrick Gallagher

Paul Gawlik

Jess Lucas

Neri Neri

Dani Paul

Wealth (40)

Manuel Alvarez

Patricia Avallone

Zakir Banatwala

Duygu Baydur

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Vishal Desai

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Richard Jiang

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Jeanne Lee

Andrew Li

Sherlock Lou

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Megan Malone

Vikram Manik

Peter Manno

Morgan Morris

Sarah Wee Hian O

Stephen Pak

Avanee Vasant Patel

Darlene Yuting Patterson

Deborah Querub

Sebastian Rubano

Thomas Schlaus

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Priya Sriskantharajah

Luca Vodini

Ivo Voynov

Richard Weintraub

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4 December 2025
Paramount’s Larry and David Ellison might look to Middle East petrostates to help finance a deal for WBD. That’s tricky.
Donald Trump welcomed Saudi Crown Prince Mohammed bin Salman of Saudi Arabia at the White House in November. Now bin Salman's country is reportedly backing Larry and David Ellisons' bid for Warner Bros. Discovery

Win McNamee/Getty Images
- Paramount owners Larry and David Ellison want to buy Warner Bros. Discovery.
- They are reportedly getting help from the governments of Saudi Arabia, Qatar, and Abu Dhabi.
- Foreign investors have put money into American media companies before. But this seems meaningfully different.
A deal to combine Paramount and Warner Bros. Discovery would create a media behemoth.

And that behemoth could be partially owned by the governments of Saudi Arabia, Qatar, and Abu Dhabi.

So says Variety, reporting that David and Larry Ellison, who own Paramount and are bidding to buy WBD, are using money from those countries' sovereign wealth funds to finance their proposed deal.

If that story sounds familiar, there's a good reason: In November, Variety reported more or less the same thing — which prompted Paramount to call the story "categorically inaccurate".

But even at the time, it didn't seem implausible that Middle Eastern oil money would be used to help the Ellisons buy WBD. And other outlets had suggested the Ellisons might partner with the Saudis, among others.

Now Variety is doubling down on its initial report. Bloomberg also reports that "Middle East funds" are involved in the Ellisons' bid. A Paramount rep declined to comment; I've also reached out to the sovereign wealth funds.

But as I noted before, the fact that it's even possible that Middle Eastern petrostates could have ownership stakes in a giant American media conglomerate — one that would control major movie studios, streaming networks, and news outlets — tells us a lot about 2025. A few years ago, this would have seemed like a non-starter; now it seems quite close to happening.

David and Larry Ellison are charging ahead in their bid to buy Warner Bros Discovery.

Eric Charbonneau/Getty Images for The Hollywood Reporter

That's because Paramount, which is competing with Netflix and Comcast in the WBD bidding, still seems like the most likely WBD owner when all of this is done. That's partially because Paramount is offering to buy all of WBD, while Comcast and Netflix only want part of it. And partially because the Ellisons — Larry Ellison in particular — are close to Donald Trump, and we live in a world where people close to Donald Trump often get what they want.

In the absence of anyone involved in the deal talking to me on the record, I can imagine some arguments why a petrostate-backed mega-media conglomerate makes sense:
- The funds would presumably have minority stakes in a combined Paramount/WBD, and it would presumably remain controlled by Americans.
- Foreign investors have frequently owned some or all of big, American-based media companies: See, for instance, Japan's Sony, which owns a major movie studio and music label. And Saudi investor Prince Alwaleed bin Talal was a longtime minority investor in Rupert Murdoch's Fox empire; now he has a stake in the company formerly known as Twitter.
- The Saudi sovereign wealth fund is already set to own almost all of video game giant Electronic Arts, and no one seems to have an issue with that.
A Middle East-financed deal for WBD could raise some eyebrows

All true! But I still think that there are differences that will certainly raise eyebrows, and maybe more forceful pushback, if a combined Ellison/Middle East deal goes forward.

One obvious point: It's one thing to have a private company or investor from another company taking a stake in an American media giant; it's another to have one that's directly controlled by a foreign government.

Another one: As media companies continue to consolidate, the power of the remaining ones gets amplified. On their own for instance, CBS News and CNN have dwindling influence and financial power; a company that combines the two, though, might have more meaningful sway. You can argue that the Saudis owning one of the world's biggest video game companies is also meaningful, but the video game industry never gets the attention it deserves, and that seems likely to continue in this case.

And last: It's possible that Middle Eastern countries are investing in an American media conglomerate solely for a financial return, and would have zero interest in the content that conglomerate makes and distributes. But that's an assertion that many folks would have a hard time taking at face value. And while lots of American companies have sought Middle Eastern funding for years, there was a pause after 2018, following the murder and dismemberment of Washington Post contributor Jamal Khashoggi — a shocking act the CIA concluded was ordered by Saudi Arabia's Crown Prince Mohammed bin Salman himself. (He has denied involvement.)

Now bin Salman might end up owning a piece of major American news outlets and other media arms. How's that going to go over?

Read the original article on Business Insider
4 December 2025
How companies can use AI to identify gaps in their workforce talent and skills
AndreyPopov/Getty Images
- AI is a powerful tool to use to analyze the large troves of HR data within companies.
- Companies can use AI analysis to identify workforce talent and skills gaps.
- This article is part of "How AI is Changing Talent", a series exploring how AI is reshaping hiring, development, and retention.
As technology continues to advance and companies look to remain competitive in meeting market demand, the skills that employees will need are also evolving. A growing number of companies are exploring how to address these skills and workforce gaps with artificial intelligence.

HR can use AI to reveal "patterns and gaps" and benchmark "current workforce skills against evolving business needs or industry trends," said Lauren Winans, CEO and principal human resources consultant at Next Level Benefits.

What AI offers in this realm isn't exactly new, said Will Howard, practice lead of HR trends and AI at McLean & Company. HR teams have long collected and analyzed workforce data manually, he said, but AI can make the process more "feasible and efficient" through automation.

Here, HR experts share four factors to consider when using AI to identify workforce and skills gaps:

1. Organize your data

Headshot of Sanmay Das, associate director of AI for Social Impact at Virginia Tech.

Virginia Tech

Organizations have troves of HR data, such as job advertisements, performance reviews, and employee job histories and training, that can be mined to uncover skills gaps, said Sanmay Das, associate director of AI for Social Impact at Virginia Tech. But this data often lacks "quality and completeness," Winans said.

Before adopting AI, organizations must embrace "good data hygiene" by ensuring the data they plan to analyze is accurate, current, and consistent, said George Denlinger, operational president of US technology talent solutions at Robert Half.

Otherwise, AI insights will be limited or inaccurate. "The phrase 'garbage in, garbage out' rings especially true here," Howard said.

Companies need a clear and consistent process for collecting, maintaining, and updating workforce data, Howard said. For instance, standardize job descriptions, including specific skills, knowledge, and activities, so that AI can make accurate comparisons.

2. Analyze the insights

Headshot of George Denlinger, operational president of US technology talent solutions at Robert Half.

Robert Half

Large language models, like ChatGPT and Microsoft Copilot, can summarize and report on data, Das said. But, for a deeper analysis, companies often need specialized AI tools designed for HR, including workforce planning and analytics, Howard said. Workday and Disco are some examples.

Ultimately, AI tools can leverage your existing data and identify strengths and weaknesses in your workforce, Denlinger said.

For example, with data on employee performance for a specific project and sales forecasts, AI could suggest the skills or roles necessary to meet the organization's future demands, Howard said. Examining an employee's job and training history, AI could quantify their capacity to acquire new skills via upskilling or reskilling, Winans said.

IBM, for example, uses an AI system that analyzes its employees' digital footprints within the company to identify their skills and predict skill proficiency levels. The company then uses that analysis to offer employees personalized educational opportunities and career coaches, helping them identify job opportunities and new career paths. In 2024, IBM reported that the approach had boosted employee engagement by 20%.

3. Understand AI's limitations

While AI can analyze data, it may overlook nuances and the human aspects of what makes a role successful, such as small tasks not listed in a job description, soft skills, or the behind-the-scenes efforts employees put in, Das said.

Companies should also focus on data privacy, trust, and employee buy-in, Winans said. Employees may worry about how their data is being used and how it could impact them, such as changes to their roles or responsibilities. She suggested communicating transparently about what data will be used, how it will be used, and why.

Data literacy is another challenge: HR teams must know what to do with the AI results, Howard said. "Even the most advanced AI technology still requires a human to put the results into a business context and communicate and take action on the insights within the organization."

For instance, the AI analysis on skills gaps should inform decisions about new roles the company needs to create or the training necessary for existing employees, Winans said.

4. Refine your strategy

"Skill requirements evolve rapidly," Winans said. Using AI to uncover skills gaps should be a "continuous process, not a one-time audit," she added.

While AI can be useful for tracking ongoing skills gaps, Denlinger said this is still an emerging use of the technology that will likely evolve.

Al also isn't a "silver bullet that can take you from zero to best in class," Howard said. "Organizations shouldn't view AI as a shortcut. It still requires the foundational skills and structures that have always been there," such as clean data and employees confident in using the technology.

Then, he said, AI "becomes the cherry on top that can take your workforce planning and data analysis to the next level."

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4 December 2025
Citadel’s stockpickers have a new AI sidekick, but the firm warns against ‘offloading human judgment’
Ken Griffin's Citadel is one of many hedge funds with an internal AI chat tool.

CHANDAN KHANNA/AFP via Getty Images
- Ken Griffin's $71 billion Citadel rolled out an AI assistant for its teams of stockpickers this year.
- The firm's chief technology officer, Umesh Subramanian, said there is no requirement to use AI.
- The Miami-based hedge fund has been using AI and machine learning in some fashion for 10 years.
Ken Griffin's stockpickers are using an internal chatbot to speed up their processes and find new info at his $71 billion hedge fund.

The tool, rolled out earlier this year, helps the firm's legions of fundamental equity investors find hidden details in public filings, summarize research from sell-side banks, track mentions of certain key words from executives, and more.

But the human part of these flesh-and-blood traders remains mission critical, according to Umesh Subramanian, Citadel's chief technology officer.

Speaking at a New York conference on Wednesday, he said, "We are also careful that it's not used in the wrong way."

"We don't want PMs offloading their human investment judgment to AI. This is a tool to further accelerate their research process," he said.

Citadel is far from the only hedge fund with an internal chat tool. Managers such as Balyasny, Man Group, Viking Global, and more have rolled out AI helpers to assist their investment teams. Citadel had already been using AI or machine learning in some form for roughly a decade.

But decision-making has yet to be turned over wholesale to the machines, aside from a few funds, such as Bridgewater, which is allowing AI to run a strategy uninhibited by people. Even quant fund managers — which trade markets using systematic, computer-run strategies — believe humans are still a critical part of investing.

At Citadel, employees aren't forced to use AI, Subramanian told Business Insider in an interview.

"We don't have a requirement to use AI, just like we don't go around saying you are required to use Java as a programming language. That's backward," he said. The new tool has close to full adoption across stock-picking teams, the firm says.

While companies like Microsoft and Shopify have mandated the use of AI by their employees, Subramanian said, "Where that goes wrong is adopting AI for the sake of adoption, rather than because it's actually needed."

"That is a slippery slope," he said.

Read the original article on Business Insider
4 December 2025
The US is getting serious about cheap, one-way attack drones with a new force in the Middle East
The Low-cost Uncrewed Combat Attack System are part of CENTCOM's one-way attack drone squadron.

Courtesy of US Central Command Public Affairs
- The US has a new one-way attack drone task force in the Middle East.
- The Low-cost Uncrewed Combat Attack Drones resemble Iranian-designed Shahed loitering munitions.
- LUCAS designs were unveiled at the Pentagon earlier this year.
The US military revealed Wednesday that it has a new one-way attack drone task force in the Middle East — and it's already fielded a squadron of low-cost attack drones.

Task Force Scorpion Strike set up a squadron of Low-cost Uncrewed Combat Attack System drones, which resemble Iranian-designed Shahed drones.

News of the one-way attack drone task force comes just one day after Secretary of Defense Pete Hegseth shared his "drone dominance" plan envisioning a $1 billion investment over two years in production and fielding of hundreds of thousands of cheap attack drones, increasingly an integral part of modern warfare.

US Central Command, the military's combatant command that oversees presence and operations in the Middle East, announced the new LUCAS drone squadron on Wednesday, saying that the drones were already deployed and being used by personnel in the area.

The LUCAS drones boast long ranges and have autonomous features, CENTCOM said, and can be launched from catapults, rocket-assisted takeoff, and mobile ground and vehicle systems.

In the announcement on the task force, Adm. Brad Cooper, CENTCOM's commander, said that "equipping our skilled warfighters faster with cutting-edge drone capabilities showcases US military innovation and strength, which deters bad actors."

Video footage shared by the command showed many of the drones sitting on a tarmac at an undisclosed location in the region.

Over a dozen prototype low-cost attack drone designs were on display at the Pentagon this past July. These drones are American-made alternatives to loitering munitions like Iran's Shahed-136, one of several one-way attack drones that Russia has used against Ukrainian cities and critical infrastructure throughout the war.

Russia has been firing Iranian-made and homegrown Shaheds in large-scale air strikes on Ukraine, pairing hundreds of them with missiles to complicate strike packages and attempt to overwhelm Ukrainian air defenses without draining its more limited stockpiles of expensive precision-guided munitions.

The effectiveness of Shahed-style drones has grabbed the attention of US Army leadership, with the commanding general of the service's 25th Infantry Division out of Hawaii saying in October that a low-cost, easily produced and assembled drone like the Shahed was exactly the type of capability the Army wants in the Indo-Pacific region.

During the display at the Pentagon in July, a fact sheet paired with a design from American engineering firm SpektreWorks said the Shahed-style LUCAS could be useful for US forces in the Indo-Pacific region by "providing a viable threat emulator" and offering "a low operational and maintenance cost compared to traditional munitions systems or aircraft."

The Trump administration has made boosting production of drones a top priority in order to keep up with adversaries like Russia and China, as well as meet the increasing threat drones present in modern warfare.

In May, President Donald Trump praised the cost of Iranian drones, roughly $35,000 to $40,000, adding that the drones were "very good too, and fast and deadly," and were responsible for "killing tremendous numbers of people" in the Ukraine war.

The Pentagon is pouring more money into all types of drones, seeing them as force multipliers, cheaper strike options than missiles, and a way to extend surveillance reach.

Read the original article on Business Insider
4 December 2025
Broker tips big upside for this ASX small-cap mining stock
In a recent report from Bell Potter, the broker shed light on the exciting ASX small-cap stock, Waratah Minerals Ltd (ASX: WTM).

It has already surged almost 200% in 2025, and completed a $30 million capital raise back in August.Â

The company is a NSW based, gold-copper exploration and development company.Â

Its flagship project is its 100%-owned Spur goldcopper project, an advanced stage, pre-resource exploration project set in the East Lachlan region of New South Wales and located ~33km southwest of Orange.

Why is it gaining momentum?

According to Bell Potter, Waratah Minerals’ flagship Spur project is showing early indications of delivering scale and grade.

Its strategy has been clear from the outset – targeting the margins of a fertile East Lachlan intrusive complex in search of
epithermal gold and porphyry goldcopper mineralisation.

Recent drilling has returned multiple zones of visible gold, fuelling the company’s growth and confidence in the Spur Project

According to Bell Potter, this exploration success shows clear potential for large scale mineralisation. These characteristics are supportive of rapid resource growth and low discovery costs.

The broker also believes the company is led by a management team and board that has a strong track record of value accretive discovery, resource development and divestment.

Nina Hendy, contributing columnist at Bell Potter, said its recent capital raise has drawn investor attention. There has been strong demand coming from existing and new Australian and North American institutional investors.Â

This has bolstered the shareholder base and lifted shareholder value in a very short space of time.

Recent drilling has returned multiple zones of visible gold, fuelling the company’s growth and confidence in the Spur Project. The company has multiple drill rigs on site, with exploration results expected to continue in the coming weeks and months.

How high could it rise?

In a report from Bell Potter in November, the broker said this ASX small-cap is well-funded. It also has a tight capital structure.Â

The company (as at October 9) held $34m cash and no debt. Bell Potter believes this is sufficient for over two years of exploration at the current rate of expenditure.Â

The team at Bell Potter initiated coverage in this ASX small-cap with a speculative buy recommendation. It also placed a price target of $0.95 on this ASX small-cap stock.

Waratah Minerals shares closed yesterday at $0.515 each.Â

From this share price, the target from Bell Potter indicates more than 80% upside.

Elsewhere, TradingView also has a 12 month target price of $0.95.

Online brokerage platform Selfwealth lists the ASX small-cap stock as undervalued by 81%.Â

The post Broker tips big upside for this ASX small-cap mining stock appeared first on The Motley Fool Australia.

Should you invest $1,000 in Waratah Minerals Ltd right now?

Before you buy Waratah Minerals Ltd shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Waratah Minerals Ltd wasn’t one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys…

See the 5 Stocks

* Returns as of 18 November 2025

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Motley Fool contributor Aaron Bell has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
4 December 2025
Michael Burry just sent a warning to artificial intelligence (AI) stocks. Should Nvidia investors be worried?
This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.
Key Points
- Michael Burry’s hedge fund has a short position in Nvidia.
- Burry is taking issue with big tech’s accounting policies.
- Burry’s concerns are valid, but he may be viewing things through a short-term lens.
Michael Burry is not your typical hedge fund manager. He did not go to business school, nor did he complete a traditional analyst program at an investment bank. Rather, Burry’s background is in medicine — completing an MD at Vanderbilt University and previously working as a neurology assistant at Stanford.

Burry eventually took to the capital markets and started his own investment firm. He is primarily known for being one of the few investors who predicted the subprime mortgage crisis back in 2008.

Fast forward to today, and Burry has a new short — artificial intelligence (AI). According to his fund’s latest 13F filing, Burry bought put options on semiconductor powerhouse and AI king Nvidia (NASDAQ: NVDA) last quarter.

Let’s delve into Burry’s beef with Nvidia and assess whether the acclaimed investor has just uncovered a bombshell revelation.

Why is Michael Burry shorting Nvidia?

Over the last three years, the S&P 500 and Nasdaq Composite have repeatedly notched new highs. Much of these gains can be attributed to an overwhelmingly bullish AI trade — with valuations among big tech soaring in lockstep with the broader market.

When it comes to Nvidia, however, Burry’s concerns revolve less around valuation and more around accounting — specifically, a concept known as depreciation.

Let’s say a company spends $1 billion on AI hardware, including GPUs, server racks, and networking equipment. If management expects the useful life of these assets to last five years, then the actual expense will be recognized ratably — depreciated — over that timeline. This means that on a company’s income statement, investors will see a depreciation charge for $200 million as opposed to the full $1 billion that was outlaid.

Nvidia is innovating at a record pace — releasing new GPU architectures approximately every 18 months. However, hyperscalers like Microsoft, Alphabet, Amazon, Oracle, and Meta Platforms — each of which are major Nvidia customers — are depreciating their AI infrastructure over a timeline that exceeds the actual useful life of these assets.

Burry is contesting that big tech is under-accounting their expense profiles and artificially inflating earnings. Nvidia is Burry’s primaryÂ target in the investigation, given the company’s efforts to quickly release new chips, which shorten the product life cycles of existing GPU architecturesÂ and render themÂ obsolete after a couple of years at most.

In Burry’s eyes, Nvidia is giving way to a coordinated accounting fraud exercise among leading AI developers.Â

Burry’s accounting concerns are legitimate, but is big tech really committing fraud?

Burry is correct in that big tech is depreciating its AI infrastructure over a longer horizon than these products actually last. However, labeling these practices as fraudulent is a bit hyperbolic.

First, public companies report theirÂ financial statements in compliance with generally accepted accounting principlesÂ (GAAP). While Burry’s claim that GAAP profits are overstated checks out, it’s important for investors to understand that metrics like earnings per share (EPS) do not fully reflect a company’s profitability.

Moreover, GAAP figures can be misleading as they are susceptible to noncash charges, such as depreciation.

Sometimes, it can be more helpful to analyze non-GAAP (adjusted) figures, such as free cash flow, to get an idea of a company’s ability to generate and sustain excess cash.

Moreover, many of the hyperscalers are audited by the Big FourÂ accounting firms: PwC, EY, Deloitte, and KPMG. If tech companies were truly engaging in fraudulent accounting, a Big Four auditor would not sign off on the documentation that goes to the Securities and Exchange Commission (SEC).Â

What’s next for Nvidia?

While I do think Burry has raised an interesting point, I do not see the accounting issue as a red flag.

Burry is subtly implying that big tech’s capital expenditures (capex) may not pay off in the long run. Should this prediction come to fruition, then he’s forecasting profit growth to decelerate, which could lead to a collapse in the AI trade.

In reality, big tech is already recognizing a return on its AI infrastructure investments. Among hyperscalers, revenue is consistently accelerating, gross margins are widening, and free cash flow is accumulating.

Against this backdrop, I think Burry is being a bit pedantic and pessimistic about the broader AI opportunity. As a long-term investor, I am far less concerned about profits next quarter than I am about a company’s profile decades from now — once AI has evolved into a more mature concept.

For these reasons, I am not worried about Nvidia’s growth prospects. The company’s backlog for new chips remains robust, and with new use cases emerging, I see Nvidia remaining an influential force in the AI realm for years to come.

As an investor in Nvidia, I remain optimistic about the company’s ability to generate strong revenue and profits well into the future and view the semiconductor leader as a core buy-and-hold position in my portfolio.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.
The post Michael Burry just sent a warning to artificial intelligence (AI) stocks. Should Nvidia investors be worried? appeared first on The Motley Fool Australia.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Should you invest $1,000 in Nvidia right now?

Before you buy Nvidia shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Nvidia wasn’t one of them.

The online investing service heâs run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys…

See the 5 Stocks

* Returns as of 18 November 2025
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Adam Spatacco has positions in Alphabet, Amazon, Meta Platforms, Microsoft, and Nvidia.Â The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Amazon, Meta Platforms, Microsoft, Nvidia, and Oracle. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool Australia has recommended Alphabet, Amazon, Meta Platforms, Microsoft, and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
4 December 2025