CSC Maintains Long-Term Bullish View on North American and Domestic AI Compute Chains

The strategist's core argument rests on demand-side evidence rather than price action: model developers' recurring revenue and hyperscaler capex are doing the work that sentiment usually does. That matters for anyone holding compute-chain exposure, because it reframes the debate from "is the trade crowded" to "is the spending real" — and the cited capex growth suggests it still is. The valuation point is the more delicate one: a mid-range five-year percentile paired with a much lower ten-year reading implies the premium has been worked off, but it also means the sector is no longer cheap on its own history. Whether that capex trajectory holds through the next reporting cycle is the open question.