Auto and industrial recovery, Semicap, Arista, Cisco, and more. Tech weekly wrap-up

Japanese Telcos & Internet What to expect in 2026: Incumbents grind higher (again)

2025 was another tougher year for the Japanese incumbents; with KDDI and SoftBank rising modestly and NTT flat, but all (including Rakuten) underperforming a strong Nikkei. This despite prices rising in Mobile. We think the sector is modestly undervalued and will grind higher with EPS. SoftBank remains our top pick.

Televisa (Neutral, TP: $2.3, -20%) Q4 25: Mixed quarter; Fibre upgrade; Dividend suspended; Potential capital increase

Televisa reported a mixed set of Q4 results after the close yesterday. The company also announced plans to upgrade 6m homes with FTTH and highlighted it is analysing investment opportunities in the Mexican Telco space.

AMZN: OpenAI deal expands AWS top model offerings

OpenAI and AWS have agreed to expand their existing $38B agreement by $100B over eight years, including a commitment to “consume 2 gigawatts of Trainium capacity”. AMZN will be making a $50B investment in OpenAI as one of multiple investors, at a $730B pre-money valuation.

SBA Communications 4Q25 Results & Model Update

We are updating our model for SBAC (Neutral, PT $212) following its 4Q25 results that were generally behind on most metrics. As we mentioned in our initial take, the company’s 2026 guidance doesn’t show much to get excited about, however, we are interested to see the progression of its dispute with SATS. The company stated that it filed its lawsuit against SATS on 2/25/26 and removed the revenue from its guide in line with the balance of the industry. Separating itself from others in the industry, CEO Cavanaugh took a stronger tone in response to our question regarding removing SATS equipment ...