Apologies, I wasn’t able to post my end of January update as I was traveling and on vacation. So this end of February update covers past two month’s changes.
My Performance (Benchmark: S&P 500)
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2021: -36% (+27%)
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2022: -76% (-19%)
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2023: +80% (+24%)
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2024: +104% (+23%)
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2025: +85% (+18%)
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Feb 2026: -28% (+0%)
CAGR
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1 Year CAGR: +14% (+17%)
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3 Year CAGR: +60% (+20%)
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5 Year CAGR: -6% (+13%)
Current portfolio holdings:
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CRDO 18%
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ALAB 18%
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RDDT 15%
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APP 14%
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DAVE 11%
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SNDK 7%
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MU 7%
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FBTC 7%
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LMND 5%
Portfolio is 102% long and has 9 positions
Changes in last two months
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Sold
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TARS, CRMD, MDGL - taking a short break from healthcare stocks. Lots of good opportunities in AI space, hence the shift. But I will be back
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IREN, CRWV - I am done with neo-cloud stocks for a while. Until they get to 50% fcf loss and shows a curve towards wanting to be profitable, I will wait. No need to be this early with this much execution risk.
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Bought
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APP - Took a beating over the last few weeks, quality business and still growing quite fast, hence I am in.
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MU, SNDK - I am late to this but I still think Memory and Storage layers of AI has room to grow. But I do realize this might be 7th innings or 3rd. So will keep a close eye.
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LMND - This quarter’s results were really good. And forward growth seems durable, so taking a shot here.
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FBTC - I have never owned Bitcoin. Rather than try all these derivatives of BTC, I decided to make this part of the core holdings.
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My holdings - historical view:
Why I own what I own:
Note: Sharing my opinion, not advice
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CRDO -18%
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The pullback in Credo continues as the growth and software market has been hard hit the first two months of 2026.
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They pre-announced earnings on Feb 9th and it was a 20% beat from the current market expectation. The fact they pre-announced earnings, gives me confidence that the AEC demand is still robust.
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Their mid-single digit growth forecast for next quarter spooked the markets. But if you follow Credo, you know the last 3 times they came out and beat the expectation they set by 17%, 14% and now 20%. So I would not put a lot of stock on the guidance. I look at this as an opportunity.
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Numbers wise they are looking good. Credo’s margins have continued to go up even though they are doing frequent product announcements. That shows, they are not scrambling to get market penetration or any sort of pricing dilution. In fact, they went up 8-10 points in gross margins over the last 12 months. That’s market dominance signal. FCF continues to hover at 20% or above. And their cash position has doubled in the last 12 months.
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I also think longer term, their story shifting from just AEC provider with one large hyper scaler to ZeroFlap AECs, Optics, Scale-up, PCIe delivered to multiple hyper scalers, will stick with the markets.
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Forward EV/Sales sits at about 11. Analysts expect 42% NTM growth but I expect them to do 80% or more. If they can do anywhere near my expectation, I think the risk/reward here is quite favorable.
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ALAB - 18%
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Astera Labs reported earnings on Feb 10th and it was a very good report. It beat Wall St expectations by 8% on revenue and grew 17% QoQ. It also significantly raised estimates, more than 10%, which is a great sign. On the FCF front, it maintained 30% margins and gross margins have now stayed flat for about 5 quarters.
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As the AI GPUs keeps scaling, the need for more complex inter connectivity within racks becomes the next step. And Astera Labs is very well positioned to take advantage of this.
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Their product innovation is still robust - from Aries to Scorpio to Leo/Tauras/Cosmos and custom solutions where necessary.
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Their growth story will revolve around Scorpio adoption and the intelligent connectivity positioning (silicon/modules/COSMOS software) towards a platform.
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The CFO transition is a wrench in the story as market hates management turmoil.
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Forward growth is still quite strong and Astera keeps raising guidance. This is a great combo in my opinion. LTM P/S went up as high as 75, so this reset is nothing but a dip as I see it. If they execute, as they have been, this should provide a good risk/reward setup for the rest of the year.
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RDDT - 15%
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Reddit is another stock that got cut in half over the first couple of months this year. Their Q4 results on Feb 5th was quite good but the macro market sentiment pulled the stock down.
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Forward revenue growth still should be 40%+ even though DAUs have come down to teens now. The monetization engines still has room to ramp.
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They are betting on actual user curated content being an edge over all the AI generated information that is floating around now.
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They are pivoting towards a decision engine narrative, where you go to Reddit for answers.
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Since they already have high margins and cash flow, it’s going to come down to growth. And as long as they can stay north of 40%, I think it should be a good investment.
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APP - 14%
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Applovin is a money printing machine and is most likely going to grow revenue at a 50% rate from a 5.8B base. That’s just some incredible numbers.
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They are the king of mobile gaming ads but what the market cares about is how they expand and diversifies into e-commerce/non-gaming ads market.
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How Axon ads manager adoption goes and how well their AI models can drive conversion will decide how dominant they get in this space and how much market share can they capture from leaders, such as facebook
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I believe Applovin is about to unlock another growth curve with this e-commerce positioning if they can do it right. And that can take them from a 150B business to north of 500B in due course of time. All theory, one quarter at a time.
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DAVE - 11%
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Dave has had explosive price action last year and now has gone sideways for 9 months.
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The main concern was forward growth. On March 2nd, Dave came out and revised what analysts have guessed as 15% growth to 28% for upcoming 12 months. Knowing how conservative DAVE guides, I think they will do 35% to 40% growth in ntm time frame. That alone should change the multiple that the market is currently valuing DAVE at.
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Margins over the last year has improved 10% - showcasing the product adoption and pricing leverage DAVE has. Also they are a cash printing machine, currently fcf sitting around 40-50%.
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On the product front, their new pay in 4 product that is in testing, should help drive ARPU and LTV numbers. CashAI v6 coming mid-2026 as well.
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Add the fact, they are increasing their buy back program, shows management is serious about taking care of shareholders. It’s very reasonably priced currently, and with 30%+ growth coming - a multiple expansion cannot be ruled out.
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MU, SNDK - 7%
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Micorn and SanDisk are a play on the memory and storage AI layers. Micron is a leader in HBM memory space and the NAND technology for SanDisk is heating up as well. The idea is both compute memory and context storage is exploding and with faster and more sophisticated models the demand keeps growth.
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Now both MU and SNDK has experienced a 9 month+ pricing hike cycle too. So when you pair, demand with pricing power, you get this kind of scary looking stock chart.
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My thesis is even if the pricing side of the equation stabilizes and comes in a bit, demand will still be through the roof and there should be enough juice in the stocks. Let’s see if that is true or this is the TOP!!
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FBTC - 7%
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Bitcoin has already been cut in half and I see this as a growth/risk on proxy trade. It took about 2-3 months for this to get cut in half but it can equally get back to all time high and beyond in a flash.
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In past cycles, after a 50 to 70% drawdown, BTC has gone on a extended run. Hoping to catch one this time.
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LMND - 5%
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Great earnings and good guide for next 12 months. My main thesis for Lemonade is native AI business in a legacy insurance market. They are showing good execution and have some great growth projections going forward. Their loss ratio is at it’s lowest mainly driven by their AI models. So this is starting to work at scale.
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They are also at the cusp of turning profitable as well. So I think market might take notice.
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Lemonade also claims that being AI native is not the same as layering in AI on top of legacy solutions. This gives them a core advantage as they penetrate new markets or introduce new products.
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This for me is a experimental position. Not a high conviction. But I see a good story here with good execution. Hence taking a stab.
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Wrapping Up
These first two months have been quite a brutal start. I did not play my cards right and have been experimenting a lot over the last 4-6 months. Dabbled into many smaller names and have been running a high margin portfolio sometimes. From a growth stock investor perspective, this feels similar to tariff drawdown last April but the indexes have still help up quite well. The risk here is if the indexes collapse another 10%-15%, a lot of the names I own will be cut my 30% or more. For now, I do feel ARKK and Bitcoin, two big indicators of growth stock trajectory is starting to put in a bottom. Once we are on the rise, I believe I have the horses to capture a lot of the upside the market has to offer. Let’s see how things play out.
Thank you for reading. Cheers and happy new year to all!
My previous portfolio reviews:
2025: Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sept | Oct | Nov | Dec
2024: May | Jun | Jul | Aug | Sep | Oct | Nov | Dec