What a difference a year made. Nvidia entered the Pivotal GTC conference last year – its new workshop on the window and software developers – high amount, with its stocks already up 77% in 2024. The boom of artificial intelligence was a little more than a year, and optimism reigned in supreme among technological investors. The actions of the Kip King AI go to the GTC next week and beaten. At the end of Thursday, they dropped by more than 20% of their total closing of all time in early January. The decline would be even worse – without a rebound during recent sessions. During the morning meeting on Friday for club members, Jim Cramer stressed that Nvidia’s actions tend to get further up in GTC. True to form, the shares have increased by more than 7% for the week. “Keynote is very important,” he added. “You must restore that it is in fact a company that is a factory for the future.” This year, skepticism about the sustainability of AI investments is much easier to find as a result of deep panic. Nvidia’s growth in income slows down 78% in the last quarter and 65% for the period from February to April. As impressive as this growth rate is for a company worth billions, three -digit expansion seems to belong to the past. Investors do not hesitate to draw the card from what are you for me. Then there is the list of things weighing on Nvidia’s actions far from the company’s control: prices, geopolitics affecting its ability to sell products to China and an increase in uncertainty about the management of the American economy, which prompted investors to become more defensive and reduce their risky bets. NVIDIA is far from the only momentum to go on the contrary in recent weeks. Take a look at the charts of Palantir and Tesla. Traders taking advantage of the highly speculative options of zero-days represent another challenge for NVIDIA actions. Needless to say, the GTC backdrop is quite muddy. Is there something that the CEO of Nvidia, Jensen Huang, can say or announce next week which will clarify it and allow the conference to be once again a positive catalyst for the stock? We are about to discover it – and Jim will be released in Silicon Valley to take everything. “The Risk-Reward is quite decent here,” he said at the monthly meeting on Thursday, because Nvidia’s assessment fell along his action. The action is now sold at around 25 times the profits, down compared to 31 at the start of the year, and a considerable discount to its average of 40 years of 40 years, according to Factst. “Let me discover what I can next week and make a better decision (what to do then) for you,” said Jim. NVDA 1Y Mountain NVIDIA’s Stock Performance in the past 12 months. During Huang’s opening presentation on Tuesday afternoon, investors should plan to hear about an updated version of the new Blackwell AI chip platform of the company nicknamed Blackwell Ultra, which should be published in the fall. New details are also expected on the NVIDIA New Generation Vera Rubin offer, the Blackwell successor which is targeted for a start in 2026. For both products, the accent is on their performance specifications, in particular for the daily use of AI models called “inference”. Will these new products encourage companies to pay more money to get the most recent equipment after spending a lot of the current version of Blackwell and the previous generation known as Hopper? Are they good enough to appease the concerns of certain investors concerning the threat that personalized chips have the long-term growth prospects of Nvidia? The Keynote and the Huang GTC as a whole will probably generate titles around robotics and autonomous vehicles, which Nvidia calls “physical AI”. Although these are both considered promising areas for Nvidia at the bottom of the road, updates relating to its data center activity are currently important stock engines. Even if the stock receives an elevator linked to the GTC, it can be short -lived. This was the case in March 2024: a sequence of victories in six sessions that started on the GTC day quickly gave in to a decline almost 20% which led on April 19. Nvidia’s actions have not been foreign to volatility over the years, but the current moment has separate difficulties. The doubts about the sustainability of IA spending – and by extension orders for the last and larger chips in Nvidia – will not be erased overnight. The fate of external overhangs, including commercial policy and geopolitics around exports to China, is a game of assumption. The good news is that GTC is a real opportunity for Nvidia and Huang to add a certain clarity to a blurred situation and to bring back at least part of the conversation to the technology of the business market. When this is the goal, there is a lot to love. (Jim Cramer’s Charitable Trust is long NVDA. See here for a full list of actions.) As abonted at the CNBC Investing Club with Jim Cramer, you will receive a commercial alert before Jim is doing a business. Jim is waiting for 45 minutes after sending a commercial alert before buying or selling a stock in the portfolio of his charitable trust. If Jim spoke of a stock on CNBC TV, he waits 72 hours after issuing the commercial alert before running the trade. The above information of investment clubs is subject to our terms and conditions and our privacy policies, as well as our warning. No obligation or fiduciary duty exists, or is created, due to your reception of the information provided in relation to the investment club. 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Jensen Huang, co-founder and chief executive officer of Nvidia Corp., speaks for the conference of Nvidia GPU technology in San Jose, California, March 19, 2024.
David Paul Morris | Bloomberg | Getty images
What a difference a year made.
Nvidia Having entered the Pivotal GTC conference last year – its new workshop on the window and software developers – High, with its stocks already up 77% in 2024. The boom of artificial intelligence was just over a year old, and optimism reigned in supreme among technological investors.