MBI Deep Dives

MBI Deep Dives

Meta Buys Away its Distraction at Minimal Cost

A couple of days ago, Meta reached an agreement with 52 attorneys general across US states to settle their lawsuit alleging that it knowingly designed addictive platforms that harmed young people’s mental health. As part of the settlement, Meta will pay a cumulative $18 Billion over 10-year period,

Nvidia Climbing the Wall of Worries

A year ago, the average sell-side consensus estimates for Nvidia’s FY 2028 (which is essentially CY 2027) revenue was ~$310 Billion. But yesterday, Nvidia guided for ~70% revenue growth in FY’28 which translates to approaching ~$700 Billion revenue next year! That means Nvidia’s FY’28 revenue

Nvidia’s Long-Term Margin Question

Nvidia will report earnings later today, but I want to take a bit longer term view and discuss some concerns I harbor in my mind about their long-term margin questions behind the paywall. Subscribers get the daily journal and five+ years of Deep Dives, i.e. full-length analyses

Big Tech Off-Balance Sheet Concerns

A couple of weeks ago, WSJ published a piece titled “Why Big Tech’s AI Spending Is $3 Trillion Higher Than It Seems”. Some excerpt from the piece: “Each quarter, big tech companies disclose their massive capital expenditures on artificial-intelligence infrastructure, from data centers to chips. But those figures

Stripe’s “Singularity” and the Divergence from Adyen

Last week, Stripe announced their acquisition of OpenRouter, the AI model gateway and routing platform. Ben Thompson had an interesting take on Stripe’s OpenRouter deal, so I won’t repeat the potential strategic reasons to pursue such an acquisition. I do want to focus a bit more on the

Core Memory

Programming Note: As a reminder, every Sunday, I write pieces that are predominantly based on personal experiences which may or may not be loosely connected with investing. If you are reading MBI Deep Dives everyday, I think it would be rather useful for my readers to understand my personal lens

The Non-linear Economics of Grocery Delivery Basket

A couple of days ago, I discussed about Instacart’s unit economics and mentioned “there is non-linearity in grocery economics in terms of basket size which is why owning half the basket size of Instacart certainly does not lead to half the profits.” Today’s post is about quantifying

Walmart’s Evolution

After posting 4%+ same store sales growth in the US for eight consecutive quarters, Walmart’s comp numbers last quarter surprised investors a bit as it came to be only 2.6% in Q2 FY27. During the call, management flagged their health & wellness (H&W) segment as the

Instacart’s Unit Economics, and Implications for DoorDash

While covering DoorDash’s 2Q’26 a couple of weeks ago, I showed the company’s LTM unit economics on a per order basis. I re-created this per order economics for Instacart. I will discuss the unit economics of Instacart as well as some implications for DoorDash behind the

Airbnb Model Update (2026)

The last time I shared my updated Airbnb model was October 2025. As the stock has gone up ~50% since then, investors need to re-underwrite the assumptions today. As promised last week, I am going to share my updated model and lay out what you need to believe to