My best read of the day and it was about my favorite stock, Nvidia. Thank you!
I am not a big fan of DCF analysis - too many assumptions upon assumptions that usually distort the conclusions. In this case, if I were to wait for $87 before buying NVDA, I could be waiting for a while.
On top of that, today, NVDA is the most traded stock in the world (it used to be TSLA). About $40-50B of NVDA is traded daily. as per Factset. As per VandaTrack, $260B has flowed into NVDA related ETFs, including 2x and 3x levered ETFs. I dont have NVDA specific 0DTE options data...that is another trading related factor distorting price movements.
Suffice to say, pricing NVDA using traditional methods...in today's markets...is a challenge and could be misleading for investors.
Thank you again for your writings. I love reading them because I learn something new every time. Your previous work on valuing TSLA was another master class.
Thank you!
My best read of the day and it was about my favorite stock, Nvidia. Thank you!
I am not a big fan of DCF analysis - too many assumptions upon assumptions that usually distort the conclusions. In this case, if I were to wait for $87 before buying NVDA, I could be waiting for a while.
On top of that, today, NVDA is the most traded stock in the world (it used to be TSLA). About $40-50B of NVDA is traded daily. as per Factset. As per VandaTrack, $260B has flowed into NVDA related ETFs, including 2x and 3x levered ETFs. I dont have NVDA specific 0DTE options data...that is another trading related factor distorting price movements.
Suffice to say, pricing NVDA using traditional methods...in today's markets...is a challenge and could be misleading for investors.
Thank you again for your writings. I love reading them because I learn something new every time. Your previous work on valuing TSLA was another master class.
Cheers!