The next name on my list is $NVDA.
It may be the most famous stock in the market, yet many investors still ignore it because they assume the opportunity has already passed.
The bear case is familiar: AI spending eventually slows and hyperscalers develop their own chips.
Let’s look at the numbers:
• Revenue: $96.2B, up 106% YoY
• Data Center revenue: $89B, up 117% YoY
• Operating income: Up 124% YoY
• Gross margin: 75%
• Next-quarter revenue guidance: $108B, with zero China revenue included
NVIDIA now sells the entire AI factory: GPUs, CPUs, networking, systems and software.
Every new generation allows it to capture more of the infrastructure stack. Despite that growth, $NVDA trades at 18-19x forward P/E.
The company is widely known, but its numbers are still underappreciated.
At this growth rate and valuation, I think the market is already pricing in slowdown in spending.
That is why $NVDA is my third great R/R pick.
It may be the most famous stock in the market, yet many investors still ignore it because they assume the opportunity has already passed.
The bear case is familiar: AI spending eventually slows and hyperscalers develop their own chips.
Let’s look at the numbers:
• Revenue: $96.2B, up 106% YoY
• Data Center revenue: $89B, up 117% YoY
• Operating income: Up 124% YoY
• Gross margin: 75%
• Next-quarter revenue guidance: $108B, with zero China revenue included
NVIDIA now sells the entire AI factory: GPUs, CPUs, networking, systems and software.
Every new generation allows it to capture more of the infrastructure stack. Despite that growth, $NVDA trades at 18-19x forward P/E.
The company is widely known, but its numbers are still underappreciated.
At this growth rate and valuation, I think the market is already pricing in slowdown in spending.
That is why $NVDA is my third great R/R pick.