Why Wall Street is so obsessed with Nvidia

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Transcript

00:00Everyone, I think, has to be obsessed with NVIDIA.

00:03I'm invested in the name myself, not as much as I was.

00:07I took a little bit off the table just to be out front with that.

00:09But every time you take a little bit off of NVIDIA because it hits your target price,

00:13it comes back and slaps you in the face again.

00:15So it's been, really, even though it's been a highly profitable trade,

00:19I've lost opportunity every time I've sold something.

00:22So traders, investors have to be watching, probably want to be participating to some degree in NVIDIA.

00:28It is the bellwether for the generative AI revolution.

00:33It's a representative of what the Amazons, the Googles, the Microsofts,

00:37what all of them are now spending in terms of capital expenditures on keeping up with each other and competing.

00:43It is the goal, if you're a stock like Advanced Micro Devices or Marvell Technology,

00:48it is who you're chasing in terms of trying to gain market share,

00:52although their technology has been really defensible to this point.

00:57We're seeing maybe a slight deceleration in the pace of growth of sales,

01:01but I don't think it's anything that should scare the investor.

01:05It's really, it will come down to valuation.

01:08And is valuation a little bit high for NVIDIA?

01:11Sure.

01:12Have they earned a high valuation?

01:15Yeah, they certainly have.

01:16And maybe it deserves to be even higher.

01:18I guess we'll soon find out.

01:19Oh, and they also have maybe, perhaps, the coolest CEO in the business.

01:24I am a Lisa Su fan, so I don't know how much I can stick to that.

01:27But Jensen Wang is simply the Fox.