After Nvidia joined the Trillion Dollar Market Club on Tuesday, Yahoo Finance spoke with experts, analysts and strategists to discuss the company’s prospects amid recent AI trends.
Yahoo Finance’s Brad Smith spoke about fanfare about Nvidia (NVDA) and AI. Smith said, “I’ll put it in his three simple letters: AMC. At the top are the applications sitting on top of M, the language learning models, and at the bottom of it are the chips and data centers. .”
KeyBanc Capital Markets Equity Research Analyst John Vinh discusses Nvidia’s advanced software. “They have millions of AI developers committed to the Nvidia ecosystem, and it is precisely this software ecosystem that will give them a sustainable edge for quite some time,” Bin said. Told.
Yahoo Finance’s Dan Howley explained what he believes gives Nvidia an edge. “People are really talking about how they get chips right now,” Howley said. “We’re not even talking about small businesses. We’re talking about Microsoft (MSFT), Google (GOOG, GOOGL), Meta (META)… NVIDIA are really on this hype train and they’re the conductors.”
Annandale Capital Founder and Chairman George See shared his thoughts on Nvidia and why investors need to remain cautious about AI. “NVIDIA is going to be a big winner,” Seay said. “And I think they’ll need to look to other beneficiaries of this move, such as Google and Amazon, and basically widen their bets.” Stated.
Video highlights:
00:00:03 – Brad Smith of Yahoo Finance
00:00:28 – John Vinh, Equity Research Analyst, KeyBanc Capital Markets
00:00:53 – Dan Howley of Yahoo Finance
00:01:24 – George Seay, Founder and Chairman of Annandale Capital
video transcript
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Brad Smith: Consider Nvidia and how they got into the, well, the trillion club. What was the fanfare about? It’s about AI. Thinking about layers of AI, let me briefly describe this in three letters. That’s AMC. At the top are the applications that sit above M, namely these models, language learning models. And at the bottom of it are chips and data centers.
John Vin: In fact, I think their differentiation and why they are so far ahead actually has to do with the software. Looking back at Nvidia’s entry into the gaming industry, there are millions of fundamental AI developers focused on the Nvidia ecosystem. And really, the software ecosystem is going to give them a sustainable edge for quite some time.
Dan Howley: They’ve been talking for years about how they’re working on AI, if they have servers, how they have software. So they’re a full-stack company from soup to nuts, and they’re great at doing just that. And their product is in short supply, so people are seriously fighting over how to get the chips at the moment.
We’re not even talking about small businesses. We’re talking Microsoft, Google, Meta, etc. They’re all trying to get Nvidia servers and chips. So Nvidia is actually on this hype train, and they’re the conductors.
George Sea: I think long term winners are well identified by the market. Nvidia will be the big winner. And I think we basically need to widen our bets by looking at other companies like Google and Amazon and other companies that are benefiting from this movement.
And a wide range of companies have excellent diversified portfolios all set to benefit from this incredible capital spending move into AI. Warren Buffett and Benjamin Graham said many years ago that the market is a weighing machine in the long run and needs substance to live up to the hype.
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