In this Australian Investors Podcast episode, your hosts Owen Rask and Drew Meredith discuss:
– AI, vibe coding and whether software moats are at risk
– Pro Medicus (ASX:PME) results and the 22% share price fall
– ASX at all-time highs amid a $65bn wipeout
– Listener questions on ETFs, silver, property, WiseTech and more
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What’s happening in markets right now?
The contradiction is real.
The S&P/ASX 200 hit all-time highs — yet headlines screamed “wipeout” after a 2% plunge wiped nearly $65 billion off the market in a single session. Meanwhile:
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AMP tanked 31%
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Temple & Webster (ASX:TPW) fell more than 30%
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Pro Medicus (ASX:PME) dropped 22% on results day
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Banks like ANZ Banking Group (ASX:ANZ) hit fresh highs
We unpack why this feels like two markets at once — and why volatility in individual stocks is rising even while the index looks calm.
Pro Medicus (ASX:PME): Why did the shares fall?
Pro Medicus (ASX:PME) delivered:
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Revenue up 30%
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Underlying EBIT up
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Margins around 73%
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$1bn+ in contracted revenue pipeline
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Strong dividend growth
Yet shares fell more than 20%.
Is this about fundamentals? Or narrative?
We discuss:
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Whether “vibe coding” and generative AI can disrupt specialised medical software
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Why proprietary, 30-year domain knowledge matters
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The risk of buying high-PE stocks on the first sell-off
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How sentiment can swing violently in growth names
Is PME a falling knife — or long-term opportunity?
AI, vibe coding and the software panic
AI tools like Claude, Gemini, Grok and ChatGPT are reshaping development workflows.
But does that mean all software companies lose their moat?
We debate:
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Can AI replicate highly specialised enterprise systems?
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Will productivity gains benefit incumbents first?
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Does AI compress margins over time?
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Are investors overreacting to headlines?
History suggests sentiment can reverse fast — just look at Alphabet (NASDAQ: GOOGL) after ChatGPT launched.
Hypotheticals: What would you do?
We tackle real-world investor scenarios:
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You just invested 20% into iShares S&P 500 ETF (ASX:IVV) — what now?
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You bought silver during the 2025–26 surge — do you hold or sell?
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Guaranteed 7% return for life with zero volatility — take it?
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One investing myth we’d eliminate forever
There’s a consistent theme: diversification, position sizing and emotional control.
Listener Q&A
Is Lakehouse Global Growth (LHGG) broken?
We unpack high-conviction portfolios, volatility and why “alert, not alarmed” might be the right stance.
Is WiseTech or AMP a falling knife?
How to think about software cyclicality and sentiment-driven sell-offs.
Commercial childcare property vs rentvesting?
Leverage, liquidity, yield vs growth and why structure matters.
Rates, inflation and CGT changes
We discuss:
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The RBA’s surprise 0.25% rate hike
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GDP crawling at 2.1%
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Wage growth forecasts slowing
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The proposal to reduce the 50% CGT discount
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How policy shifts may impact property vs equities
Is Australia shifting capital away from property and towards productive assets?
High conviction vs diversification
When markets diverge, performance dispersion widens.
High-conviction managers can outperform massively — or underperform painfully.
The key question:
Do you have the stomach for it?
