Nvda and law of large numbers

Discussion in 'Stocks' started by S2007S, Jan 16, 2024.

  1. S2007S

    S2007S


    You didn't like the article.....come on that article was a great find.....just showing a sampling of what they thought of Cisco during the greatest boom during the that technological break through in modern history. Just like we have now during the hype in the ai boom....
     
    #111     Feb 24, 2024
  2. SammyJ

    SammyJ


    I don’t think anyone disagrees with you on Nvda . But the 10’s of 1000’s who shorted it the last yr thought like you . Guess what . They committed financial suicide . Here’s the thing about shorting stocks like Nvda . You try to short it 10-20 times losing 90% of the time . Then you finally nail the top shorting it. But guess what ? Your mind is so screwed up from losing so many times the first rally off the drop you cover petrified to hold the short .
     
    #112     Feb 24, 2024
  3. S2007S

    S2007S


    So you're saying you cover the short taking the profit only to see it collapse into the abyss...
     
    #113     Feb 24, 2024
  4. S2007S

    S2007S

    #114     Feb 25, 2024
  5. nitrene

    nitrene

    Chanos shut down his short-only fund. That should tell you what Chanos believes about the current market. Chanos is probably one of the smartest HF managers but he's been trying to short TSLA for a long time to no avail.

    I give him credit for being correct about Enron & Lehman Brothers, in fact I remember the Friday before the infamous "Lehman Sunday (September 19, 2008)" he was debating with the CFO of Lehman Brothers who were both on Squawk Box on CNBC.

    Shorting bubble stocks is very tricky. I remember reading a book back in the early 2000s I believe it was called How To Short Stocks and the author said shorting only works when there is an observable downtrend in the charts, in other words the stock breaks below an important support level. That level is also where famed investor Nicolas Darvas would tell you to exit your position.
     
    #115     Feb 25, 2024
  6. SunTrader

    SunTrader

    “Bears can only make money if the bulls push up stocks to where they are overpriced and unsound…”

    “Bulls always have been more popular than bears in this country because optimism is so strong a part of our heritage. Still, over-optimism is capable of doing more damage than pessimism since caution tends to be thrown aside.”

    “To enjoy the advantages of a free market, one must have both buyers and sellers, both bulls and bears. A market without bears would be like a nation without a free press. There would be no one to criticize and restrain the false optimism that always leads to disaster.”

    - Bernard Baruch
     
    #116     Feb 25, 2024
    TrailerParkTed likes this.
  7. S2007S

    S2007S

    Buyers of Nvidia's highest-end H100 AI GPU are reportedly reselling them as supply issues ease
    News
    By Anton Shilov published about 6 hours ago
    Nvidia's H100 processors are easier to get and rent.



    applications have shrunken significantly from 8-11 months to just 3-4 months. As a result, some companies who had bought ample amounts of H100 80GB processors are now trying to offload them.



    https://www.tomshardware.com/tech-i...y-reselling-their-h100s-as-supply-issues-ease
     
    Last edited: Feb 26, 2024
    #117     Feb 26, 2024
  8. Specterx

    Specterx

    That's true enough, however NVDA's earnings are leveraged to the hyperscalers' capex spending. If deployments slow, those earnings will implode. This is a cycle on steroids mixed with antimatter rocket fuel, but semiconductor capex cycles have regularly occurred in the past and the downside is absolutely brutal.

    I'm sure not standing in front of the train at this stage, but so far AI seems like mostly hype - used for spamming crappy porn and creating infinite loops of robot bullshit generators. The titanic investments being made in 'AI chips' will eventually need to generate some sort of economic return, or they will be curtailed.
     
    #118     Feb 26, 2024
    nitrene likes this.
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    #119     Feb 26, 2024
  10. SunTrader

    SunTrader

    What do you know ... green spaghetti.
     
    #120     Feb 26, 2024
    TrailerParkTed likes this.