Downtown Josh Brown

That CapEx recovery on the high end is definitely driven by CapEx seen in technology stocks, but it's getting more diffuse.

So all of the sectors now of the 11 gig sectors, we have the data going back in history.

You can measure it CapEx relative to sales.

They're all accelerating and not to such a degree that we saw in any kind of bubble.

I mean, at the bubble time, when you measure it, especially relative to free cash flow at the peak of the bubble in 2000,

Corporate America, in aggregate, was spending three and a half to four times their free cash flow at the time.

We are still under one.

in terms of free cashflow, even with- Outside of the hyperscalers.

Even in addition to them, like so in the aggregate.

So yes, outside them, we're not really anywhere in that bubble territory.

So I say that's six or seven companies over the last six or seven years, but it's not systemic.

So there's idiosyncratic, right?

And then there's systemic.

And again, when you idiosyncratically focus on a couple of companies, you could fall prey to the fact that, you know, we'll see.

Will the CapEx estimates come to fruition?

Will the free cash flow not be there?

Or will revenues actually grow, you know, in addition to what you think?

Or maybe they'll figure out other ways to generate free cash flow, which we've seen in the past.

But you're not seeing that for the aggregate of the technology index.

So they've grown free cash flow above CapEx for the better part of 20 years.