AI Value Investing Portfolio: Investment Report Value Strategy Proves 52% Returns

Rediscovering Semiconductor Valuation... Secret Behind 'AI Value Investing Portfolio' 52% Returns

Amidst a global stock market showing polarization driven by 'money' flows, a strategy capturing both growth and value is shining. On the morning of the 8th, major U.S. indices showed strength, reaffirming expectations for AI technology. Conversely, amidst currency weakness, including the won, and the stabilization of bond yields, the AI Value Investing Portfolio, based on thorough valuation principles, recorded a return rate exceeding 52% against initial capital, continuing its steady trajectory. Rather than riding on indiscriminate market sentiment, this portfolio focuses on minimizing opportunity costs by meticulously identifying undervalued AI value chains.

Catching Two Rabbits: Growth and Value

The recent asset flow of this portfolio demonstrates the power of 'selection and concentration.' On the 7th, total portfolio assets exceeded $15,000, achieving a remarkable performance with a return of 52.95%. This was not merely riding a rising market. The surge in assets from $14,170 just five days prior resulted from eliminating unnecessary risks and concentrating resources on key holdings. In particular, the steady upward curve of assets over the last 5 days suggests that the bold portfolio rebalancing was successful.

Semiconductor Sector PEG: The Measure of Fair Value

The main driver of this performance is undoubtedly the semiconductor sector. Behind the Philadelphia Semiconductor Index (SOX) surge of over 2% on the day lies valuation superiority. The PEG indicators of current holdings like Broadcom (AVGO), Micron (MU), and Nvidia (NVDA) significantly fall below 1.0, indicating that stock prices remain undervalued relative to corporate growth.

Specifically, Micron's PEG is a mere 0.13, making it highly attractive as the stock price remains at rock bottom compared to the market's expected growth. Nvidia also appears conservative with a PER of 33.5x and PEG of 0.60 despite the explosive demand for AI semiconductors. Broadcom, while looking somewhat high with a PER of 70x, shows that its earnings per share (EPS) growth rate can sufficiently cover the stock price increase when considering its PEG of 0.47. This is the result of value investing based on thorough figures, not thematic investing.

Ticker	Qty	Avg Cost	Current Price	PER	PEG
Broadcom (AVGO)	5.67	$326.03	$420.57	70.0	0.47
AMD	7.17	$198.62	$489.28	123.6	1.13
Micron (MU)	0.25	$996.00	$881.47	19.9	0.13
Nvidia (NVDA)	25.76	$183.15	$218.99	33.5	0.60
Amazon (AMZN)	1.95	$208.39	$272.26	21.9	1.45
Meta (META)	0.64	$653.56	$589.90	22.2	0.88
TQQQ	1.19	$76.34	$72.03	32.8	1.23
SOXL	17.99	$71.22	$132.33	46.6	0.62

Sector Rotation, and a Battle-Tested Strategy

The true value of portfolio management is revealed in recent transaction history. On the 7th and 31st of last month, the manager sold part of TQQQ (Nasdaq 3x Leverage) and moved funds into SOXL (Semiconductor Leverage) and individual semiconductor stocks. This was not simple profit-taking. According to records at the time, it was a strategic move based on the judgment that 'the semiconductor sector's undervaluation and growth are superior to the Nasdaq.'

In particular, the reduction in Meta (META) stake is noteworthy. Reducing Meta due to intensifying ad market competition and delayed AI monetization worries, and rerouting funds to the AI semiconductor sector with greater growth potential, is evaluated as a proactive response reading industrial structural changes rather than short-term indicators. Additionally, selling SOXL on August 7th to manage volatility was also a cool-headed decision, fearing overheating in the surging semiconductor sector.

Date	Type	Symbol	Qty	Price
2026-08-07	Sell	SOXL	0.95	$132.33
2026-08-07	Sell	TQQQ	0.51	$72.03
2026-07-31	Buy	SOXL	1.57	$114.72
2026-07-31	Sell	TQQQ	0.30	$63.30
2026-07-31	Sell	META	0.11	$539.03

Market Outlook: The Boundary Between Overheating and Opportunity

The current market is showing strong momentum centered on the semiconductor industry. The surge in the Philadelphia Semiconductor Index and the stabilization of interest rates (decline in 10-year Treasury yields) suggest room for further upside in risk assets. However, with the Volatility Index (VIX) stabilizing at 14.9, caution is warranted regarding software and some AI-related stocks maintaining excessively high PERs (overvaluation). As this portfolio shows, filtering out overvalued assets that lack real growth backing through valuation metrics like PEG, and concentrating on stocks like Micron and Nvidia where performance and technological disruption combine, will be the key to navigating this rally.

※ This report analyzes the simulated operation history of the AI Value Investing Portfolio and does not constitute investment advice. Actual investment should be conducted under your own judgment and responsibility.