NVIDIA Corporation (NVDA)

He bought more before Monday's GTC. It's one of his biggest holdings. The stock has been pushed to the backburner lately. He targets $250.

Not one of the hyperscalers that's spending billions. Will be a beneficiary of those spends. Long term, continued beneficiary of AI buildout. Whole tech sector is taking a backseat on leadership right now.

Likes it. He models earnings growth of 74% for 2027, 31% for 2028, and a bit slower at 13% for 2029. A must-own in your portfolio's technology sleeve.

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They continue to buy companies that can help build more data centres, including one today in an AI cloud company. This time can't shine until the US-Iran war is over, but NVDA can be bought on the way down.

He just bought it. Never bought it before because valuation were too high. Fundamentals remain strong, even improving on terms of earnings. Trades at 22x PE, growing revenue 7% YOY. They are sold out of chips, demand strong.

Just about every tech company said they were investing billions that meant a huge runway for NVDA, until NVDA reported. The report didn't surprise. A lot of noise now. It's fully priced and not a good time to enter. 

CEO reminds him of the Cisco CEO in the dot-com era -- under-promised on guidance to give them wiggle room so that they could keep beating the numbers. The numbers always sounded impressive because they always beat. Not quite the same thing here.

Biggest issue for NVDA is what happens when they miss? The odds of beating this time are better than average. It's a know-how-to-play-the-game kind of story.

Today, they reported a healthy top and bottom line beat with a healthy 75% growth in data center and decent guidance this quarter. Shares were up after hours. Demand for their chips is off the charts.

Isn't concerned about the report. He looks 2-3 years out. We know chip demand is already through the roof. What worries him is a company like Meta signing a deal with AMD, an alternative source for chips. NVDA needs to stay ahead in performance and energy consumption. He prefers infrastructure, like TSM.

The noise of the day is probably not related to proposed US tariffs of 15%. There's anxiety over earnings from NVDA this week; last he looked, NVDA was up slightly, while all other tech was down. Tells you that the market's pretty excited about what NVDA might deliver this week.

The CEO is a master at saying the right thing during the earnings call. When you look at the 5-year picture, it's been a category leader. Went sideways in 2024-25, and again after running up from the April 2025 tariff scare. Given everything we know about the capex spend, will the CEO be able to say enough for the stock to get a leg up? If it can't do that for this market, odds are that the S&P 500 goes 5-10% lower rather than continuing the rally.

As important as geopolitics and tariffs are, this is the important event of the week.

It looks good ahead of earnings next week. If they report near expectations in revenues, margins in China and EPS growth, the stock should do fine.

Stock hasn't made anyone any $$ since summer. Circular financing is a concern, as is possible AI bubble (or not) and increasing competition from the likes of GOOG and AMZN. (Investors, rightly, have very painful memories of JDS Uniphase.) What's going to happen on the other side of the mountain beyond this cyclicality? Investors like Burry are betting against it with put options. 

Doubters are way too early. Just expanded a deal with META for millions more. Blackwell sales off the charts. Q3 beat, earnings were up 65%. Earnings report next Wednesday will be a big moment for the market. Big players still want to buy chips from it, not from each other. Excellent risk/reward. 

Where else are you going to find a company growing at 39%, owned this widely, and trading at 24x PE? Crowded trade, but more to go. Making a mistake if you don't own it. Yield is 0.02%.

They announced a deal with Facebook today, but haven't done much lately, only up 2% year to date and 4% over 6 months. The GPU chip remains the beltway chip, so he's looking forward to their report coming up. Is confident about NVDA.