Mark Hookey’s Post

Nvidia is now bigger than corporate listed Germany ( my thanks to Charles-Henry for highlighting this). Although this is remarkable, the bigger issue today may well be whether we’re going to see ‘technology corporate singularity’. The extent of the free cashflow of three leading Ai companies is well over $100bn. If you have technology which is capable of delivering a massive cost to serve advantage, then buying large swathes of industry would seem a good use of capital as your core growth rates start to decline, especially where there’s captive data which makes your ‘fly-wheel’ better at creating value from it. Currently there appears little to stop this happening, and it would seem odd, in the long run, that all companies would be satisfied with solely an external service provider role. All is not lost for the non-technology sectors, valuation wise, but we should begin to think about an alternative definition of anti-trust, as you may not be purchasing a dominant market share today but the superior application of AI should be able to get you there. The playing field is no longer level, the returns to the AI enabled will dwarf those created through merger by the incumbents. Not sure we’ve thought through the true consequences of ‘winner takes all’ .

Nvidia, a market darling, is down close to 4% and below its 200 hour moving average. Nvidia below its 200 hour moving average at $883.76. Shares of Nvidia are down around -1.9% at $854.71 (down $16.51). Shares are being marked lower after a UK analysts had some cautious comments on the chip maker saying "sentiment on semis are as optimistic as I can ever remember" Technically, the price is trading at its lowest level since March 18, when the price reached $850.10. The low price today has reached $853.10. The price is also below its 200-hour moving average for the first time since January 3 when the price was at $480. The 200 hour moving average is currently at $883.72. Last week the price broke below its 100 hour moving average (blue line in the chart below) and use that level as resistance (bearish). It would now take a move above both of those moving averages to increase the bullish bias in the short term at least. The next target comes between $834.20 and $850.10.

In Finbold's latest stock analysis, Wall Street experts have revealed their price targets for Nvidia over the next 12 months. 📈 From AI advancements to semiconductor dominance, Nvidia remains a key player, and stock market analysts are setting the bar high. Check out the latest predictions and see what’s driving these numbers! 🔍 https://lnkd.in/gQ62UsSU #Nvidia #StockMarket #Investing

Key points - There are three things that may have been missed from the #nvidia’s earnings report, worth considering before markets reopen Tuesday after the Labor Day holiday. Take gaming. Nvidia first started designing GPUs for gaming PCs in the late 1990s, but the AI surge has trumped that as an area of interest. For the second quarter, its gaming revenue climbed 16% from a year ago to $2.9 billion, Thursday’s results showed. The semiconductor giant’s networking business also grew. Nvidia CFO Colette Kress said on a call with analysts that revenue had climbed 16% from the March quarter, pointing to strong Ethernet for AI sales growth. The company expects its Spectrum-X networking platform to have become “a multibillion-dollar product line within a year,” she added. Another underlooked part of Nvidia’s business is its efforts to build self-driving cars. Revenue for its automotive division climbed 37% from a year ago to $346 million over the quarter ended June 30.

Nvidia will release quarterly earnings results on Feb. 21. Wall Street expects earnings of $4.56 a share, and a rise in quarterly revenue to $20.378 billion from $6.05 billion a year ago.   Nvidia’s shares boosted by more than 46% since Jan. 1. Its $570 billion increase in market capitalization is more than triple the market value of Intel . Shares of Nvidia, whose chips are considered the gold standard in the AI industry, surged nearly 240% in 2023.   The chipmaker's gains have accounted for more than a quarter of the S&P 500's increase this year.  Nvidia’s results could be pivotal for market sentiment, if the optimism is not fulfilled by earnings then you could see that reverberate quickly and weigh on sentiment.

Nvidia stock pops 4% after results, guidance top estimates. Revenue guidance $2 billion higher than expected, but data center weak. Next milestone will be earnings call. We see now profit-taking and might turn into the red. Bottom line: the AI rally is not over, even if we do see profit-taking. NVIDIA's market cap is larger than that of eight of its main competitors! Wow, the consensus expectation is that NVIDIA's earnings will beat estimates, but will the margin once again be enough to drive another surge in its market cap? The options market prices in a 7-8% move after the earnings release. However, the direction is uncertain. To be updated after the earnings release: However, even if we see a dip, we should expect that buying the dip might occur, similar to what happened after ARM's earnings release in the following trading days.

Shares of NVIDIA Corporation have skyrocketed by more than 200% over the past year, fueled by relentless investor enthusiasm and a bullish outlook from top analysts. This rally has positioned NVIDIA as a formidable contender in the semiconductor industry, with projections suggesting its market value could reach an unprecedented $5 trillion within the next year.

NVIDIA: "On Friday, March 8, 2024, a historic event unfolded in the US stock market. Within the span of just a few hours, shares of chip maker Nvidia traded for as high as $974 and as low as $865. With approximately 2.5 billion such shares in existence, the market value of Nvidia swung an incredible $270 billion intraday—more than the total market capitalization of companies like Netflix and Coca-Cola, and equivalent to the entire US Federal Government budget of 1974. In observation of this mania, we were reminded of Adam Fergusson’s outstanding and deeply unsettling book, When Money Dies: The Nightmare of the Weimar Hyperinflation. His account of people’s behavior as the catastrophe unfolded reveals a German citizenry willing to trade its fiat currency for virtually anything, nominal price be damned: << Speculation on the stock exchange has spread to all ranks of the population and shares rise like air balloons to limitless heights…. The population was now engaged in evading taxation and devoting their money to speculative purchases…. Shares in respectable concerns which had paid a 20% dividend, were pushed higher and higher till the final holders could not expect a return of even 1%.>> " Source: https://lnkd.in/gyFjksFG.

BREAKING: The World’s Most Important Stock, NVIDIA, Posts Earnings BEAT Nvidia stock, $NVDA, REVERSES to trade 7% higher and has erased a 6% decline in a matter of minutes after reporting earnings. This reversal marks a $250 BILLION swing in market cap in just under 15 minutes. This is a $1.7 TRILLION company reporting 240%+ revenue growth and swinging 10%+ in minutes. Absolutely insane. When everyone doubted. Highlights: Revenue $22.10B vs. $6.05B y/y, EST $20.41B Data center revenue $18.4B vs. $3.62B y/y, EST $17.21B Gaming revenue $2.9B, +58% y/y, EST $2.72B Professional Visualization revenue $463M vs. $226M y/y, EST $435.5M Automotive revenue $281M, -4.4% y/y, EST $272.1M ADJ gross margin 76.7% vs. 66.1% y/y, EST 75.4% https://lnkd.in/eYqiPC4G

Consensus is for NVIDIA to deliver yet another crushing quarter with its shares set to ascend even further, writes Amrutha Pavan. NVIDIA gears up to disclose its first-quarter earnings after market close today. Analysts are bullish on the chip giant's growth trajectory. The firm is expected to report a staggering revenue of $24.60 billion and EPS of $5.58, Nvidia has consistently surpassed analysts' estimates in recent quarters. Guidance from Nvidia indicates a projected revenue of $24.0 billion (+/- 2%) Analysts foresee potential stock volatility amidst factors like demand fluctuations and pricing pressures. Bank of America maintains a Buy rating on Nvidia, with a price target of $1,100, expecting the company to either meet or exceed bullish revenue expectations of $26 billion. Rosenblatt, with a Buy rating and a price target of $1,400, anticipates a beat and raise scenario despite potential supply shortages. Confident in Nvidia's market share and product demand during the Hopper to Blackwell transition, Rosenblatt remains positive about the company's growth prospects. Other analysts echo this sentiment, with Barclays, Susquehanna, Baird, Oppenheimer, Wedbush, Wells Fargo, Jefferies, HSBC, and Goldman Sachs all issuing positive ratings and raised price targets. Nvidia's current stock price stands at $947.80, with a 52-week range of $298.06 to $974.00. Year-to-date, shares have surged by 91%, and over the last year, they have seen a remarkable increase of 210%. Analysts believe Nvidia's stock prices will continue to ascend, propelled by robust demand for AI technology and its integration into consumer tech products.