The AI-focused hedge fund "Situational Awareness" suffered deep losses due to excessive leverage and concentrated bets, leading to its downfall.
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I’m Buying More Today
Jul 31, 2026
Joseph Carlson discusses recent earnings reports from major tech companies, including Microsoft, Meta, Amazon, and Apple. He highlights his significant investments in Meta, Microsoft, Amazon, and Google, emphasizing their role in AI data center spending. Carlson also touches on a bearish take on Meta from an interview and a hedge fund failure.
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The market was initially confused about Google's capex spend but has since come around to it over the past year, indicating a positive shift in investor sentiment.
Carlson owns ASML and believes it's important to have a stake in the semiconductor category, but warns against over-concentration due to the commodity-like and scarcity-driven nature of many companies in that sector.
Carlson holds a massive $200,000 position in Google, with $110,000 in gains, and highlights its significant capex spending on AI data centers.
Apple is the only of the four major tech companies that Carlson does not own, and it is down 6.5% after its earnings report.
Amazon reported strong earnings, with the stock running up 4% on the day and another 9% following earnings, moving from the $230s to $257, and Carlson holds a large position.
Despite a 8% sell-off after earnings, Carlson is actively buying more Meta, viewing it as a large position he is down on but believes in.
Microsoft reported strong earnings, is up 15.5% on the day, and Carlson has a significant investment in the company.