Nvidia: Don’t Buy The AI Hype Pre-Earnings


  • On the backdrop of the ChatGPT tailwind, Nvidia shares have started to rebound aggressively, reflecting investor optimism about the potential of generative AI technology.
  • While I acknowledge the tailwind that Nvidia is likely to see from AI computing… I would like to have more growth transparency before buying into a x60 EV/EBIT valuation.
  • In that context, I am excitedly looking forward to study post-earning Q&A commentary about the likely fundamental tailwind in relation to ChatGPT/ generative AI.
  • Going into Nvidia’s Q4 earnings announcement, I assign a ‘Hold’ rating to NVDA shares.
Semiconductor Maker Nvidia Reports Quarterly Earnings

Justin Sullivan


After reaching a valuation of more than $800 billion in late 2021, Nvidia (NASDAQ:NVDA) shares fell sharply — intermittently by as 70% from the all-time high. With that frame of reference, Nvidia’s fundamentals were pressured by a slowdown in gaming, crypto-mining and the broader

Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Additional disclosure: Not financial advice.

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