$NVIDIA(NVDA.US)
Context: despite being the most valuable company in this world, the valuation of Nvidia is dropping. The forward PE is now just only 17x compare to AMD which is 40x. The low valuation is due to:
1. More in house GPU being developed by the like of Meta and Alphabet. Both companies has successfully launched their own AI chips.
2. The rising cost of memory chip is squeezing Nvidia profit margin by more than 3%.
My trade: observe for any sign of deteriorating profit before selling
Takeaway: Jensen Huang claim that this Nvidia is "incredibly misunderstood" but we prefer Nvidia earnings report to clear this misunderstanding. $Intel(INTC.US)$Netflix(NFLX.US)
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