TARGET FROM $1,085 TO $1,140 RUBIN, A BLOWOUT REPORT. EVERYBODY'S EXPECTATIONS WERE HIGH AND NVIDIA TOOK IT TO THE MOON WHAT WAS YOUR PRICE TARGET A LOT OF THIS WAS PRICED IN. WE WERE EXPECTING NVIDIA TO BEAT >> RIGHT I WOULD SAY FIRST OF ALL THE NUMBERS WENT UP. THEY DID BEAT. INVESTOR EXPECTATIONS WERE ELEVATED CONSENSUS WAS LOWER THAN WHERE NUMBERS CAME IN >> WHISPER NUMBERS. >> I WOULD SAY YES >> YOU HEAR THEM >> NVIDIA MET THE WHISPER NUMBERS. OUR NUMBERS WENT UP. WITH THE NUMBERS GOING UP WITH THE SAME MULTIPLE ON THE NEW EARNINGS ESTIMATE, OUR PRICE TARGET WENT UP THERE WERE CONCERNS GOING INTO THE QUARTER ABOUT SUSTAINABILITY OF DEMAND AND PRODUCT TRANSITION AND THIS IS A TRANSITION YEAR. NVIDIA ANSWERED A LOT OF THOSE CONCERNS THE DEMAND ON THE EXISTING HOPPER ARCHITECTURE REMAINS STRONG A NEW VERSION OF THE HOPPER COMING OUT NVIDIA TALKED ABOUT DEMAND EXCEEDING SUPPLY WHEN YOU LOOK AHEAD, BLACKWELL IS AROUND THE CORNER WITH THE NEW ARCHITECTURE EXCEEDING SUPPLY IN 2025 AND THE NUMBERS GOING UP AND THE OUTLOOK LOOKS STRONG. >> WHEN YOU TALK ABOUT THE PRODUCT TRANSITION, THERE WERE CONCERNS OF THE AIR POCKET YOU FEEL THEY ADDRESSED THOSE CONCERNS >> I DO. ONE OF THE THINGS NVIDIA TALKED ABOUT ON THE CALL IS A.I. M MONETIZATION FRANK, THERE IS A BROADENING OF THE SPEND. NVIDIA TALKED ABOUT ENTERPRISE CUSTOMERS COMING IN AND CONSUMER INTERNET CUSTOMERS AND THE BIG CLOUD SERVICE PROVIDERS WITH THE CAP EX NUMBERS GOING UP. THERE IS A BROAD BASED DEMAND. >> THEY THREW IN HEALTHCARE COMPANIES. JAMES, YOU ARE AN NVIDIA INVESTOR WE JUST SHOWED THE REVENUE CHART. THAT IS INCREDIBLE I WANT TO TALK ABOUT VALUATIONS. ABOUT A YEAR AGO, NVIDIA WAS TRADING AT 61 TIMES FORWARD EARNINGS NOW IT IS 41 TIMES AS AN INVESTOR, WITH THIS MASSIVE GROWTH, IS THIS ACTUALLY CHEAP? ARE YOU LOOKING AT GETTING DEEPER INTO NVIDIA NOW >> IT'S OUR BIGGEST POSITION I'M NOT SURE HOW MUCH BIGGER WE CAN GET. >> WE WEREN'T SURE HOW MUCH BIGGER NVIDIA COULD GET. >> THAT'S FAIR THAT'S FAIR. WE'RE PLAYING THE ENTIRE DATA CENTER INFRASTRUCTURE BUILDOUT FROM THAT STANDPOINT, OUR EXPOSURE IS SIGNIFICANTLY OVERWEIGHT RELATIVE TO THE INDICES. THAT BEING SAID ON THE NVIDIA VALUATION, AS LONG AS THE EARNINGS CONTINUE TO GROW AS THEY HAVE, WE SEE THAT VALUATION JUSTIFIED. WE WILL CONTINUE TO STICK WITH IT FOR THE FORESEEABLE FUTURE. THE QUESTION WE HAVE IS AROUND WHAT DO THE ECONOMICS OF THE BUSINESS LOOK LIKE AND THE NEXT STAGE OF THE CHIPS AS THEY COME IN AT LOWER MARGINS AND WHAT DOES THAT EARNINGS LOOK LIKE THAT BEING SAID, ALL OF THE THINGS THEY SAID ON THE CALL, YOU KNOW, WE THINK THAT COMING AWAY FROM THIS, THE CONFIDENCE AND ESTIMATES IS ONLY BOLSTERED AND STRENGTHENED FOR THE NEXT 12-TO-18 MONTHS. THAT SHOULD HELP KEEP THE VALUATION IN TACT AND CONTINUE THE MOMENTUM ON THE STOCK FOR SURE. >> WE TALK ABOUT THE COMPANY BEING FOCUSED ON DATA CENTERS. IN THE RELEASE, THEY SEE A BROADENING OUT OF THE CUSTOMER BASE DOES THAT CHANGE THE OUTLOOK OF THE COMPANY IN A POSITIVE WAY OR RAISE YOUR EXPECTATIONS FOR THE NEXT QUARTER AND GOING FORWARD THEY ARE SEEING DIFFERENT TYPES OF COMPANIES LOOKING TO UTILIZE THEIR CHIPS? THEY MENTIONED HEALTH CARE WE HAD SANOFI ON AND THEY ARE PARTNERING WITH OPENAI I SEE A NUMBER OF USE CASES. >> I THINK THAT UNDERSCORES THE BULLISHNESS FOR NVIDIA WHAT IT DOES MOST OF ALL IS SOLIDIFIES THE FACT THIS MOVEMENT TOWARD A.I. AND DIGITALIZATION OF SERVICES WILL CONTINUE TO HAPPEN AND HAPPEN AT AN ACCELERATED RATE. YOU HAVE A TARGET-RICH ENVIRONMENT OF COMPANIES TO CAPITALIZE AND NVIDIA BEING THE FUEL TO THAT FIRE VIA THEIR CHIPS. WE TAKE THAT BEING SAID AS A BULLISH STANCE ON THE ENTIRE GEN A.I. TRANSITION. >> THEY MENTIONED SOVEREIGN NATIONS. THEY WENT OUT OF THEIR WAY TO SAY THAT WHEN I WAS IN LONDON. TALKING ABOUT THE BUILDOUT OF THE SOVEREIGN CLOUD IN EUROPE. THAT COULD BE INTERESTING GOING FORWARD. RUBEN, INCREASING THE STOCK BY 150% THAT IS A POPPING NUMBER, BUT AFTER THE SPLIT, THAT IS 1 CENTS PER SHARE. DOES THAT CHANGE ANYTHING ABOUT THE STOCK? >> IT IS GOING IN THE RIGHT DIR DIRECTION. IT COMES BACK TO CASH FLOWS. THAT CASH FLOW CONTINUES TO COME UP IT IS DOING THE RIGHT THING. SHAREHOLDER ALLOCATION IS GOING IN THE RIGHT POATH. NVIDIA WILL CONTINUE TO BOLSTER THE PATH THE MARKET STRUCTURE OF THE COMPANY IS GOING UP TO THE RIGHT AND MAYBE IT COMES DOWN A LITTLE BIT WITH THE NEW PRODUCT FAMILY NEXT YEAR. THIS IS A BIG SOFTWARE ASPECT TO THE LONGER-TERM STRATEGY THAT IS REALLY INTERESTING AS YOU THINK ABOUT THE MULTIPLE VALUATION AND MARKET SHARE OF THE COMPANY. >> ANY HOLES IN THIS REPORT? ANY QUESTIONS OR ANYTHING THAT IS A BAD MARK WHEN YOU LOOK AT THESE NUMBERS? >> I REALLY COULDN'T FIND ANYTHING TONI NITPICK ONE CONCERN THAT CAME UP LAST NIGHT IS WHAT DO YOU THINK ABOUT CHINA? NVIDIA DID DISCUSS CHINA ON THE CALL IT IS UNCLEAR IT IS A COMPETITIVE MARKET AS YOU SAID, THERE IS A LOT OF STRENGTH ELSEWHERE WE ARE STILL IN THE EARLY INNINGS. >> JAMES, YOU KNOW IT WILL BE ONE PENNY A SHARE, BUT ANY HOLES THAT RAISES ANY EYEBROW OF CONCERN? >> NO, NOT AT ALL. I WOULD ECHO CHINA WE ARE STAYING AWAY FROM CHINA ALL TOGETHER OBVIOUSLY, NVIDIA IS EXPOSED SOMEWHAT YOU KNOW, ASIDE FROM THAT, I THINK IT'S GREAT OBVIOUSLY, THE DIVIDEND BOOST AND THE STOCK SPLIT IS ALSO A REALLY BIG DEAL THAT N
