“Is $NVDA really worth $36 billion more than it was New Years Eve with $15k BTC?” NVIDIA Corporation (NASDAQ:NVDA) shareholders should be prepared to see stock quickly trade back to $200 (where stock started the year). Goldman taking off conviction list is the canary in the coalmine.
Consider how this information we have read since Jan 1:
- Bitcoin Prices down 40% year-to-date while NVDA share price up over 22%
- Datacenter (the only growth metric that really counts) was already facing some headwinds that was offset by Crypto in Q2. This is an unsustainable trend
- While 2017 was the year as NVDA being the Al. pure play, This New York Times article describes the new 2018 narrative.
https://www.nytimes.com/2018/01/14/technology/artificial-intelligence-chip-start-ups.html
- Anyone who dismisses any competition, and just wants to play multiple expansion just speak to Andrew Feldman at Cerebas
https://datacenterfrontier.com/the-8-trends-that-will-shape-the-data-center-industry-in-2018/
- Nvidia is no longer the clear name in autonomous
https://www.androidheadlines.com/2018/02/waymo-vehicles-require-human-takeover-less-competitors.html
Playing multiple expansion is like playing chicken, it doesn’t end well for shareholders. NVDA’s stock has risen 111% since Goldman’s report 12 months ago whereas revenue for 2018E is up a minor 11%.
January was solid for the share price thanks to a strong market and some CES hype, kudos to Nvidia, we see a February hangover.
Go ahead and send over the hatemgjl, we are sorry that the truth hurts. Citron’s trading call on $NVDA have been spot on. But if you own the stock, you must ask yourself the question “Is $NVDA really worth $36 billion more than it was New Years Eve with $15k BTC?” Don’t think so
Citron loves Jensen Huang, but he is becoming one tall tree
Article by Citron Research
