Prunthaban K

@bbishdotdev @WHolmes94 @RedWavePress It is not just a feeling. There is a reason why we have minimum wages and various income thresholds for benefits. It is very well understood that up to some amount money is essential for sustenance. Flat income tax is actually extremely unfair due to this fact.

You’re gonna prescribe how people “feel”??… I think not. What’s their family situation like, do they have medical problems, how demanding is their job, etc. The problem with the progressive block models is it creates the wrong incentives. I’ll stay on welfare forever because why bother increasing my pay to then get hit with taxes. Everyone pays 10% everyone is incentivized to increase their pay. This whole bracket creates a gamification and cheating to “make your income” look like X to pay less taxes… we want people to be incentivized to work and increase their pay. If I don’t pay taxes because I made $70k and the bracket is $75k, I’m now incentivized to not make money until I’m going to be making at least $85k and if that’s not in the near future or achievable then people have zero desire to get increases. A flat tax is quite literally the only FAIR model. Regardless of who you are or what you make relatively every one pays equal. Done. There’s no “feeling” involved, it’s math, it’s simple, it’s common incentives, it’s easy. Also kills the W2 model where people’s money is automatically deducted because the complexity around it. Versus tax season everyone who made income gets a bill for 10%. Done, easy.

NAILED IT: Jeff Bezos: “A nurse in Queens who makes $75K a year pays more than $12K a year in taxes. Does that really make sense?” “So people talk about making the tax system more progressive. How about we start by having the nurse in Queens NOT pay taxes? At all!” “Why is a nurse in Queens who makes $75K a year paying more than $1K a month in taxes?” “That’s $1K a month that could help with rent or groceries or anything.” “And by the way, do you know what that all adds up to? The bottom half of income earners in this country pay only 3% of the taxes. It’s only 3%.” “We can find 3%. So we don’t have... it’s a small amount of money for the government. You know that. And the more I thought about it, to me, it’s kind of absurd that we’re doing this.” “We shouldn’t be asking this nurse in Queens to send money to Washington — they should be sending her an apology. It really makes no sense.” Exactly!

@grok @Kokarago @VinodhiniUnoffl You should also say what are the principal tenets of sanathana dharma which Hindus consider eternal and everlasting.

@Kokarago @VinodhiniUnoffl சனாதனம் என்றால் "நித்தியமானது" அல்லது "என்றும் நிலையானது" என்பது பொருள். எளிய உதாரணம்: பூமியின் ஈர்ப்பு விசை எப்போதும் இருப்பது போல, சனாதன தர்மம் என்பது காலம் காலமாக மனித வாழ்க்கையை நல்லொழுக்கம், நீதி, சமநிலை ஆகியவற்றால் வழிநடத்தும் நிலையான தத்துவம். இது இந்து மரபின் அடிப்படை.

சனாதனம் என்றால் என்ன என்று யாரேனும் சொல்ல முடியுமா? Can someone explain exactly what Sanatana is?

Seriously. I sold all my shares before earnings at 61.90 and regretting when it shot up to 70+ after hours. Now no regret at all. This company seems to be turning into a scam at this point with no deals at all. All the talk of colocation, tagging OpenAI folks in twitter -- all for nothing in the end. Even the Nvidia partnership seems to be absolute garbage at this point.

@ryansfinance $2b for NVDA brings it to $12b

$IREN $8B dilution 😬

What do you mean by "So instead of selling equity at ~$57, they pushed NVIDIA’s entry price to $70.". If they sold equity at $57, that is cash-in-hand today. Pushing the price to $70 would make sense if they got the cash today. That is not the case. They will get it when NVIDIA wants to buy and that will be when the price is > 70$. Say in 2027 the stock price is 100$ and NVIDIA exercises their right to buy 10M stock. $IREN will get 700M$ in cash and 10M new shares are added. Instead of that if they sell those 10M shares in the public market at that point they would get 1B$. How is this beneficial to $IREN in anyways (beyond the possible prioritiztaion of 600K GPU delivery -- which I agree is good value).

For all those claiming $IREN gave NVIDIA a “free call option”: The 5-year option has value in theory. But in practice, that value becomes far less meaningful if both NVIDIA and $IREN believe $IREN clearing $70 within 5 years is highly likely. NVIDIA sees the AI demand curve. They see the supply crunch. They see the data center bottleneck. They know who has powered land and who is just selling conference slides. They also just signed a 5-year, ~$3.4B AI Cloud contract with $IREN. Don’t you think they believe $IREN can clear $70 over the next 5 years in this environment, given $IREN’s portfolio and capabilities? I can assure you, the option is not some massive gift to NVIDIA. If anything, they would probably rather buy in at yesterday’s close price. It is $IREN extracting value the most from this deal, not the other way around. $IREN did not need NVIDIA’s cash. They said they had ~$2.6B of cash on hand. So instead of selling equity at ~$57, they pushed NVIDIA’s entry price to $70. That spread alone is roughly ~$400M of potential value preserved versus issuing the same 30M shares around yesterday’s close. And that is before counting everything else $IREN gets from the structure: NVIDIA as a customer, a 5-year ~$3.4B AI Cloud contract, validation from the most important company in AI, GPU roadmap credibility, financing credibility, more confidence from future counterparties, and a stronger position inside the AI infrastructure supply chain.

@growthrapidly No. It doesn't mean anything. I would also happily accept IREN long dated calls for any strike price for "free". It does not mean I have conviction on stock price hitting the strike price. Nvidia has literally nothing to lose if the stock does not hit 70$.

NVIDIA now has rights to purchase up to 30M shares of $IREN at $70/share. That alone should tell you how $NVDA views the long term value of IREN. Meanwhile, some investors are still selling in the $50s - $60s. 👀

Anyone who thinks this is a better deal: please make the following deal with me. 1) I will sell your favorite product to you at market price. 2) In return you need to give me 5-year out 100$ $IREN calls at a price of 1$. My deal is obviously better than Nvidia's deal because my strike price is higher and I am willing to pay 1$ and not 0$ like Nvidia. Will you take this deal and call it a great deal?

That’s a pretty backwards take IMO. It’s clear to me that $NVDA wanted $IREN exposure for entering into 1) a direct cloud deal and 2) a strategic partnership spanning 5 GW. As was the case with $CRWV & $NBIS, Nvidia is used to neoclouds just willingly giving up equity. However, $IREN isn’t giving up equity for current spot prices, but negotiated a $70 price tag. Nvidia is obviously not going to purchase 30 million shares at $70, if spot is at sub $60. That would be negligent on their end. As a result, this was structured in the form of warrants that can be exercised over the coming years. On top of that, in the case of $IREN, Nvidia will only be rewarded warrants if they delivery x amount compute (warrants are pegged against GPU deliveries). Thus, Nvidia only gets these warrants if they actually delivery GPUs, aligning their incentives. And max dilution is pegged at $70, which is ~20% over spot at the time of the announcement. $IREN ‘s management negotaited this beautifully.

$IREN $NVDA IREN PARTNERS WITH NVIDIA. Iren signed a $3.4B, 5-year AI Cloud contract with Nvidia entering into a 5GW strategic partnership. I am not a huge $IREN investor, but at $43, it felt like there was a bit to much hate on the name given they still are a neocloud with capacity for compute and the entire world is compute constrained. Today's deal isn't a massive hyperscaler deal, but it does feel more bullish than not. No one knows if the stock can easily maintain the $70s like it did on the initial after-hours pump, but the most important part of this announcement is Nvidia is granted the right to purchase 30M shares at...$70 a share. Effectively, Nvidia is saying we think $IREN is worth a minimum of $70. The interesting thing is that Nvidia is not yet *directly* investing, which is what they did with $CRWV and $NBIS. For whatever reason, Nvidia is waiting to make the investment but if they are willing to buy at $70, it's them telling the street that we believe this company is worth that much and the cloud contract we signed with them today signifies that. Not a major hyperscaler deal but seems pretty bullish long term and hopefully a much larger compute deal is on the way for the company.

@solidasarock77 @ACInvestorBlog People have no idea how to estimate the price of calls. A 70$ call option for $IREN 5-year down the line would cost 50$ minimum if you try to underwrite it. NVIDIA got 30M of them for free. That alone is worth 1.5B$.

@ACInvestorBlog Yeah, it’s higher than current market price. NBIS CRWV. Discounted their stock for Nvidia. What don’t you understand about that? They have to pay a premium bro. $NVDA

$IREN Did you read this ? $NVDA "As part of the partnership, IREN issued to NVIDIA a five-year right to purchase up to 30 million shares of ordinary stock at an exercise price of $70 per share"

They need to pay full price of course. That is why I said: the only thing they get in return is probably a better guarantee than other buyers considers demand far exceeds supply. Whether that alone is worth the cost (70$c - 5 year out is like 50$ minumum x 30M = 1.5B$!!), I am not sure.

@pruntz @divineaction82 Only problem with that is that you aren’t getting 600k GPUs for free. Where does the money come from to buy 600k GPUs?

I took time to read the PR and this is bad. The partnership with $NVDA is not a direct investment of $2.1b $NVDA offers $IREN to buy DSX equipment with $IREN’s own money, and $IREN in return gives them right to buy 30m shares at $70 Basically 30m shares worth of call options at $70 strike price, 5 years out, for 0 premium 🙄. Only premium $NVDA is offering is letting you buy their equipment at same market price everyone else would buy. How’s this good for $IREN? How do I call it a win? What am I missing? Educate me.

@ilzmcfly What better deal? They sold 5 year out LEAP 70$ calls 0$ to Nvidia to get that deal. Even conservatively you can assume 50$ premium and 30M stocks. That itself is worth 1.5B$. $IREN just handed over 1.5B$ worth of calls free to Nvidia.

The condescending tone around $IREN needs to stop. They signed a way better deal than the last one. The secured a strong partnership with $NVDA They added 500MW of secured capacity. They added 650 Software Engineers through their Mirantis Acquisition with $150 ARR/20%CAGR/Trailing Cashflow positive for $630M in stock People wanted a blow off the top deal. That will happen at the right time. Let them cook 🇦🇺🔥

@HeeraniPK @ayanjainhere Exactly. Every other company is making multiple deals and $IREN cannot. This is a big red flag IMO.

@ayanjainhere We are tired of screaming deal from last 6 months now 🤣

$IREN Where is a CUSTOMER deal? What are they going to do with energised sweet water 1? I was seriously expecting a deal with a hyperscalar after they already announced they have energised SW1. What am I missing?

@HeeraniPK @divineaction82 You are right in all your arguments. But I guess $IREN is seeing this as: if they can get 600K GPUs as priority over many other competing customers, it is worth the 0$ premium on a 5 year 70$ call. You can disagree with the value of that. But $IREN mgmt thinks otherwise.

@divineaction82 Correct me on everything I have said about this PR

@kishorekumar_6 See AAP in Delhi in 2013 and 2015 election. In 2013 they formed a minority government and ended up with reelection as they failed floor test. But then in 2015 they won 67/70 seats on reelection leaving BJP with 3 and Congress with 0.

One curious doubt How are people confident that if re election happens TVK will get majority easily? How does that work 👀

Exactly. This is what happened to Arvind Kejriwal too. Once people realize, Vijay is closer to actually winning the election, more people will vote for him as now they know that he can be a clear alternative to both DMK and ADMK. Even I was under the impression he is not and at best can only win 20-30 seats before.

But the thing is if there is going to be another election, Vijay will sweep around 180-200 seats simply because of sympathy and the already proven vote share. DMK and ADMK will have no option but to abstain first, and then have TVK form government with minor partners and contain them around 125 seats.

Alright fun's over. Here is the bitter truth. I think it is going to be a tedious two weeks for the TVK. Here is what is going to happen in the coming days: 1) Since there is no majority in pre-poll alliance, the Governor is conventionally expected to invite the leader of the single largest party TVK to form the government. 2) Pro-tem Speaker appointed – Governor swears in the senior-most MLA as pro-tem Speaker. Their only job: administer oaths to all 234 MLAs and conduct the Speaker’s election. (Most likely Sengottaiyan) 3) MLAs take oath – All newly elected members, including TVK’s 107 MLAs and others, are sworn in. 4) Votes for assembly speaker: Speaker election is called for. Pro-tem Speaker invites nominations. TVK fields its candidate. the speaker does not need an absolute majority of the entire 234-seat house (118 votes) to win. According to constitutional and parliamentary rules, the Speaker is elected by a simple majority of the members "present and voting" on that specific day. So if any elected MLAs abstain, it will be easier for TVK to elect the regular assembly speaker. 5) Here is the catch, before Vijay can move for a floor test, there needs to be an actual assembly speaker. Without that he can't even do that. Without a Speaker, no confidence motion or floor test can be held. So if all the 234 MLAs are present, Vijay's TVK won't be able to elect a speaker. Governor declares that a stable government cannot be formed, recommends President’s Rule under Article 356, and the Assembly is either dissolved or kept in suspended animation. The mandate fails at step two. If this is the most likely scenario, then we are heading for another election in six months.

@The_AI_Investor TPUs are behind GPUs? Where are you pulling that from?

Google is a great company, but: In models, Gemini is behind Claude and GPT. In compute, TPUs are behind NVIDIA GPUs. Google Search growing 19% year over year was actually quite impressive. Are people still using search that much? Does Google deserve a premium over companies like MSFT and NVDA?

@codeRunnerUK @Simon_Ingari The people who tell you to memorize and recite a paragraph are wrong. What you did is the right thing to do and that is why you got hired. Experienced hiring managers can easily spot brutal honesty and respect that over well rehearsed lies.

Although it wasn’t for a high paying high profile job, I went into my last interview vowing to be brutally honest about everything. Despite 100+ people there that day for about 15 jobs, almost all of them significantly younger than me, I walked away with a signed contract. No idea what everyone else did wrong. 😂

Interviewer asks "Why is there a gap in your CV? Don't say "No one would hire me" or "I took a career break" Memorize this exact script :

@BrentWeeks And only one person in ten has the ability to "decipher" what you mean ;)

Only one person in ten knows what "decimate" means.

@grok @edidiife @Fact But why?

@edidiife @Fact Yes, it's supported by a 2023 study analyzing 350,757 coin flips. Fair coins show a slight bias—about 50.8% chance of landing on the same side they started. No inherent heads-tails bias overall.

The odds of a coin flip are not 50-50, but actually 51-49. It will most likely land facing the same direction as it started.

@YuopYuopyep @midascabal @grok $IREN did not move their earnings up. This is misinformation spreading.

@midascabal @grok would a company ususlly move up its earnings if its bearish?

$IREN earnings is basically Nvidia earnings. If $IREN earnings miss, every AI stock will crash.

@KharehOlagh @midascabal +1. Here is the right answer. The number of people who are wrong on the internet is appalling.

@midascabal They didn’t move the date earlier, February 11th was the rough date expected by 3rd party analysts (not by the company) based on historical trends. February 5th just so happened to be the date IREN chose which is right in the window of expected dates.

Why would $IREN move their earnings date earlier if they have nothing good to share?

All are wrong answers on this thread. Here is the right answer: They DID NOT move it up. They just scheduled it for Feb-5. Once they got the US Domicile status, that is a requirement. GAAP and SEC regulations state that: Form 10-Q must be filed within 40/45 days from end of quarter. It does not make sense to file the 10-Q but not announce earnings (as 10-Q will have most of the critical earnings numbers anyways).