Is Nvidia (Still) Overvalued?

Last week, Nvidia overtook Microsoft and Apple to become the world's most valuable company, a feat which hasn't happened since 2011. So in this video, we'll explain how this vertiginous rise came about and ask whether this boom can last thanks to AI.

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[Aarrenrhonda]

Strong BUY. Still early innings. NVIDIA is the dominant leader in AI and the preferred technology partner globally. Even w new competition on the horizon, NVIDIA is far ahead of the competition. 85% market share. 76% margin. Unrivaled demand for new Blackwell chip. Demand far exceeds production for Blackwell through to 2025 and beyond. No competitor has anything close to Blackwell. And forward P/E is about 33 (cheap for a high growth stock). Buy this stock and wait. You will be rewarded.

[AllenNichol]

just sold part of my Nvidia stock to protect my profits, but I'm holding onto some for the long run because of the company's strong growth prospects. In addition, I'm thinking of expanding the variety in my $400K stock portfolio, but I'm not sure how to handle risks going forward.

[jameswood]

The main focus for markets now is Nvidia, which has powered a large chunk of the S&P 500’s recent earnings. Nvidia’s stock, up more than 100% this year, rose 2.5% in New York on Monday, sending the Nasdaq 100 index to another record high. I'm still looking for companies to make additions to my $350K portfolio, to boost performance. Here for ideas...

[alexsteven.m]

I feel investors need to be focus on under-the-radar stocks, and considering the current rollercoaster nature of the stock market, Because 35% of my $270k portfolio comprises of plummeting stocks which were once revered and i don't know where to go here out of devastation.

[samuxan]

Saying that nvidea used to focus on video games showing a ps5 and xbox when the console market is the only area where AMD may have an advantage over this company...

[VictorHogemann]

Minor nitpick... Nvidia is only present in the Nintendo Switch, both Playstation and XBox use AMD. Nvidia is much more present on the PC gaming market, with their GPU dominating both Desktops and Laptops.

[getnohappy]

When there's a gold rush, sell shovels

[puelocesar]

I’m just waiting for everyone to discover the current form of AI (LLM), although impressive technically, is not as useful as everyone thinks it is and the bubble finally bursts

[bryce.ferenczi]

Pretty poorly done supplementary visuals on the video. Playstation/XBox are AMD, not Nvidia, either show a normal gaming gpu or a nintendo switch. "The Best Networks" shows an nvidia xavier, which is a SoC for robotics etc, not a spectrum-x switch or connect-x NIC....

[ozelotsoffunT-jzrt]

That title is gonna collect many views. well done

[prodlowd]

Minor point that some others have pointed out... you said Nvidia's GPUs were mainly used in video games, but listed an Xbox and PS5, which use AMD GPUs!

[isaacnewton]

It’s obviously overvalued BUT it’s not popping anytime soon as the prospects of AI hype in the near future is only going to increase

[aasdairpage]

It isn’t usually the companies that make raw materials that are valued the most. Each company down the chain usually adds more value and makes more money because the cost of raw materials reduce over time, and given that NVIDIA are providing the AI tools for other companies to implement, it seems their position wouldn’t hold.

[Spojo]

I think it's a bit misleading to say they were primarily about GPU's for gaming prior to crypto. Consumer GPU's have very low margins. Nvidia's success is due to GPU sales for data centres and super computers. The professional grade GPU's are significantly more expensive and are bought in large volumes in many cases. Gaming GPU's are lower skew products that are basically a byproduct of their main focus.

[wineski]

This video indicates you don't need a high IQ to be a good investor, just 2 qualities, self discipline and a lot of patience. Investing is mostly about behavioral psychology. How can I generate more income to retire with at least $3m for long term care?

[paulistastars]

This video has lowkey the best financial adivice on youtube "dont take financial advice from youtubers"
CRAAAAZY TLDR does it again

[TimothyWilliams]

Right now, things seem odd. The US dollar is losing value due to inflation, but it is strengthening in comparison to other currencies and commodities like gold and real estate. Because they believe it to be safer, people are going to the dollar. I'm concerned that the rising inflation may lead my retirement funds to lose value. Where else could we put our cash?

[hidesbehindpseudonym]

I actually had Nvidia in 2000 and then I sold it in 2000 😅 I could have been the millennial version of a crypto bro by now if I had just waited 24 years

[RamonChiNangWong]

The thing about CUDA not being available on other
As of now you other kind of emulation software that can do that for you, running CUDA codes on Radeon hardware (ZLUDA)

[supersam]

So glad I bought in before the boom, cleared my buy in cost and am now sitting on dividends, I see ai being around for a minute regardless of the financial successes and nvidia in the right place to capitalize the effort.