TAKIN’ ON THE BIG BOYS! (NVDA)

Remember Nvidia (NASDAQ:NVDA)?

The lads who singlehandedly moved the entire market?

The company that added $700 billion to its market cap in just six months on the strength of its AI chip sales?

ARTIFICE

Seven Hundred Billion.

That’s real money.

Or is it…?

AI is artificial, you know…

It creates things that are artificial.

Like this latest broad market, bull rush to the heavens.

It’s not real intelligence.

You know that.

Not real as we know it—as you and I have been so overwhelmingly endowed.

Ho, ho—no!

It’s phony.

It’s the kind of intelligence that makes weak investors buy stocks.

You know the kind…

Anyway, we’re leveling the broadaxe in NVDA’s direction this morning because we’ve had enough of the fakery.

And we’re doing it with a trade so bold and muscular, it’s gonna send a quake through the bowels of Wall Street.

DON’T LEAVE YOUR DESK FOR A SECOND!

The invidious ones have planned for this day for over a century, friends.

It’s all about trickery and deception.

But they’ll never get away with it.

Because it makes no sense.

Nor do the fundamentals.

Check ’em out—

• NVDA has a current P/E of 221.89.  Why?  Well, because… AI…  Get it?
• And yet analyst consensus is for that metric to shrink to just 41.11 in a year.  In other words, the stock price shrinks by a factor of five or earnings grow by a factor of five.  As if the latter’s even possible for a legacy company with a competitive advantage, yes, but massive competition, too.
• Dividend Yield is a minute 0.04%, and…
• Price to Book is a comedic 42.99.
• EPS this year SHRUNK by 54.70% (hunh!?),
• Sales SHRUNK Q/Q by 13.20%, and…
• Consensus is for next year’s EPS to grow by just 33.53% (and not the above mentioned 400%).

So, as you can see, things don’t tally.

The company upped its guidance, but a pullback is almost a certainty.

Even companies in the trillion dollar club lose their momentum.

Here’s the chart—

G-d willing, we’ll see the immediate destruction of the

Luciferean trash currently running the show.

With kind regards,

Hugh L. O’Haynew

Follow @HughLOHaynew