The AI Boom Runs Into an Unexpected Headwind

Motley Fool Hidden Gems Investing

The Motley Fool

Business, Investing

4.3 • 3.1K Ratings

🗓️ 18 May 2026

⏱️ 20 minutes

🔗️ Recording | iTunes | RSS

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Summary

The market is buying everything AI related, but that love doesn’t extend to this year’s college graduates or the localities seeing data centers go up. We discuss the pushback to AI that many in Silicon Valley didn’t see coming. Plus, we give a peak at retail earnings and the drama in Lululemon’s board room. Travis Hoium, Lou Whiteman, and Rachel Warren discuss: - AI’s unexpected local pushback - Previewing retail earnings - Lululemon’s drama Companies discussed: Lululemon (LULU), Nike (NKE), Target (TGT), Walmart (WMT), Home Depot (HG), TJX Companies (TJX). Host: Travis Hoium Guests: Lou Whiteman, Rachel Warren Engineer: Dan Boyd Disclosure: Advertisements are sponsored content and provided for informational purposes only. The Motley Fool and its affiliates (collectively, “TMF”) do not endorse, recommend, or verify the accuracy or completeness of the statements made within advertisements. TMF is not involved in the offer, sale, or solicitation of any securities advertised herein and makes no representations regarding the suitability, or risks associated with any investment opportunity presented. Investors should conduct their own due diligence and consult with legal, tax, and financial advisors before making any investment decisions. TMF assumes no responsibility for any losses or damages arising from this advertisement. We’re committed to transparency: All personal opinions in advertisements from Fools are their own. The product advertised in this episode was loaned to TMF and was returned after a test period or the product advertised in this episode was purchased by TMF. Advertiser has paid for the sponsorship of this episode. Learn more about your ad choices. Visit ⁠⁠⁠⁠⁠⁠⁠⁠megaphone.fm/adchoices⁠⁠ Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0	The AI buildout has an unexpected handwind.
0:05.0	Motley Fool Hidden Gems Investing starts now.
0:08.0	Welcome to Motley Fool, Hidden Gems Investing. I'm Travis Hoy. I'm joined today by Lou Whiteman and Rachel Warren.
0:15.0	And guys, we are in commencement season. The start of the midterm process has begun.
0:21.8	And that could be a problem for the multi-trillion dollar AI buildout.
0:25.4	We've seen in Texas and Virginia, where two of these states that a lot of these data
0:29.3	centers are going have started to have some pushback against data centers.
0:34.4	Moratorium was passed in Texas.
0:35.9	I think that was kind of the most notable thing.
0:38.0	But some of the commencement speeches are also getting booed as the speakers are talking about
0:42.8	AI. So it seems like we're, Lou, we're really in an interesting environment where this is
0:49.4	driving the market. This is why this is a big topic for us. I think AI is fundamentally driving the market
0:55.4	in almost every company that is doing really well right now, whether you're looking at energy
0:59.3	or semiconductor stocks or materials, it's all AI tailwinds. And yet at the same time, on the ground,
1:08.2	there's a lot of pushback in the actual AI buildout. So what is going on here?
1:13.9	Is this just a natural backlash to kind of the new thing in town?
1:18.5	First off, and yes, I'm an old, and I need to acknowledge that, but I am here for the young
1:24.6	booing the old and established. I have hoped for the future when that happens.
1:28.8	So please, kids, it's your big day. Bo the heck out of Eric Schmidt, if you want. I am here for that.
1:34.3	So, but on to your top, to your question, I do not think this can derail or end the AI build out,
1:41.7	but it can make it more cumbersome and slow things down. I almost think
1:46.2	some of the companies wouldn't mind that, but it's just my pet theory, so I'm okay. But look,
	...

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