Background

1st Stock

Today’s Stock: NVIDIA Corporation (NVDA)Today’s Stock: NVIDIA Corporation (NVDA)

NVIDIA Corporation, a computing infrastructure company, provides graphics and compute and networking solutions in the United States, Taiwan, China, Hong Kong, and internationally. It operates through Compute & Networking and Graphics segments. The Compute & Networking segment includes its Data Center accelerated computing and networking platforms and artificial intelligence solutions and software and automotive platforms and autonomous and electric vehicle solutions, including software.The Graphics segment offers GeForce GPUs for gaming and PCs; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; GeForce NOW cloud gaming service; and NVIDIA vGPU software for graphics- virtual desktops and workstations

My Thoughts 💭My Thoughts 💭

We all know Nvida. Never owned a share but Ansel is bullish as America looks to re-industrialize. The question is after it’s been pumped by the masses is it worthy still spending some sats for a share or two.

At 263.4k sats per share ($68,299), and a 58 sat per share yearly dividend. It would take 4,541 years to break even.

The company trades at a PE 36 which means investors are paying $36 access $1 of earnings. A very expensive stock by historical standards.

Let’s review some key fundamentals to determine if this stock is worth spending sats on.

PE:PE:

Expected Growth:Expected Growth:

Revenues and expenses:Revenues and expenses:

Balance Sheet:Balance Sheet:

Dividend:Dividend:

Bitcoin per share:Bitcoin per share:

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Ownership breakdown :Ownership breakdown :

Leadership:Leadership:

The fundamentals of this company are very strong. The balance sheet is fantastic, the growth prospects are good (projected grow slower than bitcoin), and a founder lead leadership team that is underpaid, a fantastic margin and rocketship revenue growth and free cash flow.

The only negative is the elevated valuation. The market is demanding an elevated premium to own shares in this company.

From a Bitcoiner perspective. Paying 264k sats for one share is a bit steep. Since the valuation is so high and it doesn’t pay much of a dividend the risk of losing your sats goes up very quickly. But on the flip side if the AI revolution is here than 264k sats might be worth it for one share.

Here is the performance according to Simply Wall Street

I understand why Ansel included this stock in his portfolio. Even after all the hype the company still has strong fundamentals. A DCA into this company can help soften the correction when it comes but over the long run Nvida could very well be best company to own in the next 10-20 years.