$NVDAB WITHOUT JENSEN HUANG: A HISTORIC OPPORTUNITY FOR INVESTORS? 📉💰
Jensen Huang’s departure from Nvidia could become an advantage for its shareholders, according to an analysis by The Wall Street Journal. Although the stock is down 22% since late October, the company’s fundamentals remain solid.
📊 The numbers are impressive:
* Nvidia forecasts revenue growth of 70% for the fiscal year ending in 2028.
* Analysts project around US$261 billion in free cash flow over four quarters.
* The company has nearly US$100 billion in cash.
* Its shares trade at less than 12 times forward earnings, a historically low valuation.
Colette Kress, the chief financial officer, has temporarily taken over as CEO. Her permanent successor could abandon Huang’s risky financing deals for the artificial intelligence ecosystem and prioritize dividends and share buybacks.
💡 The precedent is Apple: after Steve Jobs died, Tim Cook transformed the company’s financial management, generating a cumulative return of more than 2,700% for shareholders over 15 years.
⚠️ However, reducing financing for customers and partners could hurt Nvidia’s growth and destabilize part of the AI sector.
Are we witnessing the end of an era or the beginning of a more profitable and disciplined Nvidia? (The Wall Street Journal)
#Nvidia #NVDA #WallStreet #ArtificialIntelligence #StockMarket #Investments
Jensen Huang’s departure from Nvidia could become an advantage for its shareholders, according to an analysis by The Wall Street Journal. Although the stock is down 22% since late October, the company’s fundamentals remain solid.
📊 The numbers are impressive:
* Nvidia forecasts revenue growth of 70% for the fiscal year ending in 2028.
* Analysts project around US$261 billion in free cash flow over four quarters.
* The company has nearly US$100 billion in cash.
* Its shares trade at less than 12 times forward earnings, a historically low valuation.
Colette Kress, the chief financial officer, has temporarily taken over as CEO. Her permanent successor could abandon Huang’s risky financing deals for the artificial intelligence ecosystem and prioritize dividends and share buybacks.
💡 The precedent is Apple: after Steve Jobs died, Tim Cook transformed the company’s financial management, generating a cumulative return of more than 2,700% for shareholders over 15 years.
⚠️ However, reducing financing for customers and partners could hurt Nvidia’s growth and destabilize part of the AI sector.
Are we witnessing the end of an era or the beginning of a more profitable and disciplined Nvidia? (The Wall Street Journal)
#Nvidia #NVDA #WallStreet #ArtificialIntelligence #StockMarket #Investments
