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Nvidia's 10-to-1 Split: Future Outlook and Investment Strategies · Earn Your Leisure

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  Speaker 1: Earners.
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• 1:51
  Speaker 3: All right, so let's talk about the Nvidia Nintendo one split.
• 1:54
  Speaker 3: We haven't talked about that yet because it happened last
• 1:57
  Speaker 3: week after Monday a year So okay, ten to one split.
• 2:01
  Speaker 3: Let's talk about what it means future outlook for in video.
• 2:08
  Speaker 3: How far can the stock run up to get the
• 2:11
  Speaker 3: whole spill?
• 2:12
  Speaker 1: Yeah, so now it'll pretty must be like one hundred
• 2:17
  Speaker 1: bucks a share and some change makes it a lot
• 2:20
  Speaker 1: more attracted to the retail investors. We went through this
• 2:23
  Speaker 1: with Apple before we went through it with Tesla, so
• 2:26
  Speaker 1: everyone wants to know should I buy as soon as
• 2:28
  Speaker 1: it splits. I'm always going to buy based off price,
• 2:32
  Speaker 1: so it could slide back to maybe eighty nine bucks
• 2:35
  Speaker 1: ninety bucks, but anything sub one hundred is good. One
• 2:38
  Speaker 1: year return for in video one hundred and twenty percent.
• 2:41
  Speaker 1: Excuse me, yeah, year to date one twenty one year,
• 2:43
  Speaker 1: two hundred and forty five percent, last five years twenty
• 2:46
  Speaker 1: eight percent, last ten years twenty two thousand percent return
• 2:50
  Speaker 1: hole for long term. Put this in chat. A lot
• 2:53
  Speaker 1: of your problems go away if you hold for a
• 2:55
  Speaker 1: ten year period. I'll screamed to set invest us one
• 2:57
  Speaker 1: two three, and I will scream it again. You're on
• 3:00
  Speaker 1: stage and give away ten grad Most of your problems
• 3:03
  Speaker 1: go away if you HOLDE for a long period of time.
• 3:07
  Speaker 1: One of the best companies I've ever seen. Incredibly focused,
• 3:10
  Speaker 1: high price point, but also on the deliverable side. They
• 3:14
  Speaker 1: deliver amazing returns for the client base that they are
• 3:19
  Speaker 1: serving and that they have. I want to say, and
• 3:24
  Speaker 1: I don't want to be too early in this, but
• 3:26
  Speaker 1: Jensen does feel Steve's jobs at like these chips feel
• 3:32
  Speaker 1: like their iPhone, and at a time when that iPhone
• 3:35
  Speaker 1: was revolutionary. He's doing the same thing in their space.
• 3:38
  Speaker 1: Management team is incredibly competent and incredible. I've been along
• 3:43
  Speaker 1: the stock. I've been beating the table about the stock
• 3:45
  Speaker 1: for the last few years for sure. Chat to everybody
• 3:48
  Speaker 1: in Red Panda who got in, I appreciate you. And
• 3:50
  Speaker 1: for everyone who asks who's a new in video, there's
• 3:52
  Speaker 1: no new Lebron, no new Toime Brady, no new Kobe,
• 3:56
  Speaker 1: no new Michael Jordan. Either choose to invest in the
• 3:59
  Speaker 1: best the theory is or find something else now normally
• 4:03
  Speaker 1: because people would ask what's the new ig or Facebook
• 4:07
  Speaker 1: or Netflix is never going to be in the same sector.
• 4:10
  Speaker 1: So I think the next revolution in five or six
• 4:13
  Speaker 1: years could be quantum computing. But as far as the
• 4:16
  Speaker 1: chip space, I think they have this unlock. Black Rock
• 4:20
  Speaker 1: and Vanguard feel the same way. You can go look
• 4:22
  Speaker 1: at how State Street feels about them as well. But
• 4:26
  Speaker 1: one of the most amazing runs I've seen for a
• 4:27
  Speaker 1: company ever. And shout to all my gamers who was
• 4:30
  Speaker 1: big on a video before the public call wind of them.
• 4:33
  Speaker 2: Yeah, yeah, shout to everybody that reached out. I'm sure
• 4:36
  Speaker 2: y'all got a bunch of text messages about it.
• 4:38
  Speaker 1: I know I did.
• 4:39
  Speaker 2: Yes, and trying to explain the splits is always it's
• 4:42
  Speaker 2: always fun because it's like, okay, this is what it means.
• 4:44
  Speaker 2: And the best way I can put it is it's
• 4:46
  Speaker 2: a psychological maneuver, right, Like, well too, yeah, fundamentally, nothing
• 4:52
  Speaker 2: really changes inside of the company. Right, for every one
• 4:55
  Speaker 2: ship that you had, now you receive ten. So it's
• 4:57
  Speaker 2: you got one hundred, you have a thousand. If you
• 4:59
  Speaker 2: had two hundred, now you got two thousand. Right, So
• 5:01
  Speaker 2: the price point and we're looking at the price now
• 5:03
  Speaker 2: obviously the market was closed is at ten sixty four.
• 5:06
  Speaker 2: So when it trades it'll be at a dollar if
• 5:09
  Speaker 2: it stopped today, if it traded, which it will on
• 5:12
  Speaker 2: I think June seventh and start in June tenth, people
• 5:15
  Speaker 2: will start relieving this year is it'll if it's stopped today,
• 5:17
  Speaker 2: it would be at one hundred and six dollars in
• 5:20
  Speaker 2: maybe fifty cent.
• 5:22
  Speaker 1: And that's how it works, right, So.
• 5:23
  Speaker 2: Each year the money value will be the same, even
• 5:26
  Speaker 2: inside the options market, they're going to split it the
• 5:29
  Speaker 2: same way. But what it does do, that's why I
• 5:31
  Speaker 2: said it's a psychological thing, is that it does seem
• 5:34
  Speaker 2: more appealing to retail investors rather than paying almost eleven
• 5:38
  Speaker 2: hundred for a year. It seems it's a lot more
• 5:41
  Speaker 2: appilling to buy it at one hundred and ten dollars
• 5:43
  Speaker 2: this year. Right, this is the company, especially if you're
• 5:45
  Speaker 2: new to investing. You've been hearing everything about it. You've
• 5:48
  Speaker 2: been seeing it everywhere for the past two at least
• 5:51
  Speaker 2: two years, but definitely over the past twelve months you've.
• 5:53
  Speaker 1: Heard about AI. Here's your opportunity.
• 5:56
  Speaker 2: People will come into the space and say, all right, well,
• 5:59
  Speaker 2: now it's my opportunity to grasp my shares, which is great,
• 6:01
  Speaker 2: especially if people who have been holding in video like
• 6:04
  Speaker 2: you said, maybe five years already two years, or even
• 6:07
  Speaker 2: if you've been holding for it. Yeah, you've seen some
• 6:09
  Speaker 2: extreme growth, and so it's encouraging right now now that
• 6:13
  Speaker 2: there's an opportunity for you to get into it. I
• 6:15
  Speaker 2: know you said it'll pull back under sub hundred with
• 6:18
  Speaker 2: the amount of news, and I'll throw this question out
• 6:21
  Speaker 2: to both of you guys. With the amount of news,
• 6:23
  Speaker 2: the amount of media attention, everything was seen around it,
• 6:28
  Speaker 2: where do you think it runs up to? Do you
• 6:30
  Speaker 2: see it going to one ten, one fifteen, maybe one
• 6:33
  Speaker 2: twenty before it actually pulls back?
• 6:35
  Speaker 1: Or yeah, probably one, ten, and then my long targets
• 6:37
  Speaker 1: for it to get back to five fifteen four, five
• 6:39
  Speaker 1: fifteen four or five years. Yeah. They're producing record profit,
• 6:47
  Speaker 1: record revenue, and in a space where a lot of
• 6:50
  Speaker 1: American companies are not producing something of true value and infrastructure,
• 6:57
  Speaker 1: they pretty much have the keys to the kingdom for
• 7:00
  Speaker 1: digital infrastructure for the next ten years.
• 7:03
  Speaker 3: So tough what Okay? So do you think in Video
• 7:08
  Speaker 3: will eventually become the number one company in the world.
• 7:11
  Speaker 1: I don't know if they will stay there, but I
• 7:12
  Speaker 1: do think they have a chance.
• 7:15
  Speaker 2: I'm gonna say, yeah, I think that puts them there, right. Yeah,
• 7:19
  Speaker 2: but that's in the five period.
• 7:20
  Speaker 1: And of course Microsoft, of course they're a big player
• 7:23
  Speaker 1: in AI, think proximately through owning a large percentage of
• 7:27
  Speaker 1: Open AI. But I do think they have it. My
• 7:29
  Speaker 1: only fear is Saudi Aramco. If we hit recession, I
• 7:34
  Speaker 1: think that business will be more valuable let's say global
• 7:38
  Speaker 1: economic pullback, because they won't let the R words fly now.
• 7:44
  Speaker 1: So if we have a global economic pullback, But if
• 7:46
  Speaker 1: they eventually get to like that three hundred dollars range
• 7:49
  Speaker 1: four hundred dollars range, I think they could be the
• 7:50
  Speaker 1: number one company I don't think they stay there long term.
• 7:52
  Speaker 1: I think Microsoft ultimately becomes number one and stays there
• 7:55
  Speaker 1: for a long period of time. But I think then
• 7:57
  Speaker 1: Video will at least touch number one in the market
• 8:00
  Speaker 1: cap in the next couple of years two three years.
• 8:04
  Speaker 3: Shouldn't Video be added to the down?
• 8:06
  Speaker 1: Absolutely? Get three M or IBM or one of the
• 8:11
  Speaker 1: little old guards out of here. It's cheap enough. It's
• 8:15
  Speaker 1: really uh infrastructure play. There's a real business there. I
• 8:21
  Speaker 1: don't know why it would not be added. It's not
• 8:25
  Speaker 1: like the case of Tessa, where the business was murky
• 8:28
  Speaker 1: in some areas. This is the one of the few
• 8:32
  Speaker 1: companies that is clicking on all cylinders and almost nik
• 8:36
  Speaker 1: a swat analysis. They almost have no weaknesses, almost don't
• 8:41
  Speaker 1: have any. So yeah, I think they should be added
• 8:43
  Speaker 1: to the DOW. Sure.
• 8:44
  Speaker 3: So for people that are not invested in the video,
• 8:48
  Speaker 3: what do you suggest? Should they invest now? Should they
• 8:50
  Speaker 3: wait to the split? Should they wait till it pulls
• 8:53
  Speaker 3: back under one hundred dollars after it splits.
• 8:56
  Speaker 1: After it splits in its top one hundred, so maybe
• 9:00
  Speaker 1: ninety five bucks if it gets to eighty nine hours?
• 9:03
  Speaker 1: Who I be lated? Elated for everyone of the options.
• 9:07
  Speaker 1: Troy is your specialty. Shot your specialty. Two years, don't
• 9:11
  Speaker 1: do zero day expiration, don't do any one years. Hope
• 9:14
  Speaker 1: for two years you'll be good. But yeah, wait till
• 9:17
  Speaker 1: after the split. Sub one hundred definitely, eighty nine will
• 9:20
  Speaker 1: be a great price. But ninety two to ninety four
• 9:22
  Speaker 1: I'm not mad at if you're holding for the long term.
• 9:25
  Speaker 2: Yeah, I'll go with the first thing, which is does
• 9:28
  Speaker 2: it become the number one company in the world. Yeah,
• 9:33
  Speaker 2: I think it does happen. Like I said, it's it's shortly,
• 9:37
  Speaker 2: we'll at this pace in the next couple of quarters.
• 9:40
  Speaker 2: It will pass Apple and marketcap yep, and the Microsoft
• 9:43
  Speaker 2: is up next. I think again, long term, I think
• 9:45
  Speaker 2: Microsoft will be the number one company. It is now
• 9:47
  Speaker 2: as far as market cap, but yeah, it passes it.
• 9:50
  Speaker 2: If you looked and you listen to the earnings report
• 9:52
  Speaker 2: this week, yes, it blew out its earnings again. The
• 9:56
  Speaker 2: data centers are just, I mean, running a rampant. But
• 10:00
  Speaker 2: the Blackwell GPU has not been a part of that
• 10:02
  Speaker 2: revenue structure yet, which is going to be released later
• 10:05
  Speaker 2: this year. In something that you've talked about plenty of times.
• 10:08
  Speaker 2: But for people who are not familiar with it. It
• 10:11
  Speaker 2: is their new GPU. And here's what it focuses on.
• 10:14
  Speaker 2: It focuses on energy efficiency. So when we're talking about
• 10:17
  Speaker 2: how efficient can it do it? How much power does
• 10:19
  Speaker 2: it take? But the Blackwell GPU is designed specifically for that,
• 10:24
  Speaker 2: and it's going to improve advanced simulations AI quantum computing,
• 10:29
  Speaker 2: data analysis, and it's going to reduce energy costs. And
• 10:32
  Speaker 2: so you're talking about getting a higher quality product that's
• 10:35
  Speaker 2: going to cost you less to use. You take that
• 10:38
  Speaker 2: into account. The price point again is between thirty to
• 10:40
  Speaker 2: thirty five thousand per GPU. We've already heard huge companies,
• 10:45
  Speaker 2: whether it's Microsoft, whether it's in Video, whether it's Meta,
• 10:48
  Speaker 2: I mean not, whether it's Meta, talking about their commitment
• 10:51
  Speaker 2: to having those GPUs. When you're talking about these mega
• 10:55
  Speaker 2: cap companies and their reliance on it going forward, especially
• 10:58
  Speaker 2: in the AI race, Yeah, I think we're talking about
• 11:04
  Speaker 2: a few more quarters at least the next eighteen months
• 11:07
  Speaker 2: where they're going to continue to dominate. And if they have,
• 11:10
  Speaker 2: I mean, I don't know. I haven't seen this in
• 11:12
  Speaker 2: you can tell me if you. I haven't seen a
• 11:15
  Speaker 2: company report this many quarters where it's absolutely destroying all
• 11:19
  Speaker 2: of its estimates. And we don't see a slowdown, So yeah,
• 11:22
  Speaker 2: I think it becomes a number one company and should it.
• 11:25
  Speaker 1: Be added to the Dow.
• 11:26
  Speaker 2: So last week we told to you about how the
• 11:29
  Speaker 2: doll is rated. So just really quickly, the doall is
• 11:31
  Speaker 2: made up of thirty stocks and it's price weighted average. Right,
• 11:34
  Speaker 2: So in video couldn't come in, and we spoke about
• 11:36
  Speaker 2: that because of its price. So the higher price stocks
• 11:39
  Speaker 2: because of the index, moves higher based on the lower
• 11:42
  Speaker 2: price one. If the percentage moves, it remains the same.
• 11:45
  Speaker 2: So each dollar is not weighted equally. Right, So United
• 11:48
  Speaker 2: Health which is like over five hundred dollars, and let's
• 11:51
  Speaker 2: take a video. If it comes in at one hundred,
• 11:53
  Speaker 2: that one dollar that that stock moves versus one dollar
• 11:56
  Speaker 2: that in video moves would not be same.
• 11:57
  Speaker 1: So percentages are taken into it.
• 11:59
  Speaker 2: So coming down to that level, I think it's not
• 12:02
  Speaker 2: even a matter if I believe, it's a matter of
• 12:05
  Speaker 2: when it can do that, and I think that will
• 12:08
  Speaker 2: happen within the next twelve months. I see it, I
• 12:10
  Speaker 2: see you join it.
• 12:11
  Speaker 1: Yeah, I mean, and video loon is worth more than
• 12:14
  Speaker 1: entire German stock market. And going back to the pits
• 12:17
  Speaker 1: and shovels. Like imagine in seventeen hundreds you have people
• 12:19
  Speaker 1: that are selling shovels and buckets, and then here comes
• 12:23
  Speaker 1: a company with a bulldozer that allows you to extract
• 12:26
  Speaker 1: tons of gold out of one mountain. That's what Nvidio
• 12:29
  Speaker 1: is selling.
• 12:29
  Speaker 2: Or here comes a company that says, if you're going
• 12:31
  Speaker 2: inside to dig for gold, you're gonna need clothing, and
• 12:34
  Speaker 2: that clothing needs to be tough, and it needs to
• 12:36
  Speaker 2: be rigid, and it needs to be sustainable in her temperatures.
• 12:39
  Speaker 2: And then you call that company LEVI because all the
• 12:45
  Speaker 2: lifetimes ahead.
• 12:46
  Speaker 1: Like, but it's the power of staying focused. Like a
• 12:50
  Speaker 1: lot of people didn't see this coming. I think because
• 12:53
  Speaker 1: of the geopolitical stuff, let's be I'm gonna be very clear,
• 12:55
  Speaker 1: TSM should have the spot. But because of the potential
• 13:00
  Speaker 1: for there, Yeah, that allowed them to get into pole
• 13:04
  Speaker 1: position and become number one. Needs to done a great
• 13:06
  Speaker 1: job at every court. Like here they're smashing these numbers
• 13:10
  Speaker 1: out of the park. It would be the quotal of
• 13:12
  Speaker 1: a player coming in and like averaging forty five points
• 13:15
  Speaker 1: and twenty rebounds.
• 13:17
  Speaker 2: Again, what they're doing is ridiculous. I'm glad you brought
• 13:19
  Speaker 2: up the TSM piece. I spoke about it last week.
• 13:21
  Speaker 2: I said that was my option trade of the month.
• 13:23
  Speaker 2: It still is, but you start I'm starting to hear
• 13:25
  Speaker 2: it now like maybe TSM is just under price right
• 13:29
  Speaker 2: especially for its important it's it's dominance. We're not talking,
• 13:32
  Speaker 2: and we talked about your geopolitical standpoint. If anything is
• 13:35
  Speaker 2: to happen to that company, what that means not just
• 13:38
  Speaker 2: for them, but what it means for the entire pretty
• 13:41
  Speaker 2: much you as economy and Video, Microsoft, Apple, Amazon, met
• 13:46
  Speaker 2: If something is to happen with that company, you're talking
• 13:48
  Speaker 2: about a major major issue globally. Right now, TSM holds
• 13:53
  Speaker 2: more than ninety percent of the market share for leading
• 13:55
  Speaker 2: as semiconductive manufacturing.
• 13:59
  Speaker 1: Percent.
• 14:00
  Speaker 2: Yep, that's ridiculous, And so we got esteem it at
• 14:05
  Speaker 2: these numbers. Yeah, there might be a case point that
• 14:08
  Speaker 2: it might be under price here. I know there was
• 14:10
  Speaker 2: a little bit of consolidation. It pulled back to ninety
• 14:14
  Speaker 2: maybe mid to early last year. Right now it's trading
• 14:17
  Speaker 2: over one hundred and fifty. So one hundred and sixty three.
• 14:21
  Speaker 2: I can see it again into one hundred and seventies.
• 14:23
  Speaker 2: Not out the realm of belief, but yeah, it might
• 14:24
  Speaker 2: be undervalued at this point, especially for what it means
• 14:26
  Speaker 2: to the economy.
• 14:27
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