NVDA - Nvidia Corporation

Described as undervalued and currently trading around 30% below his estimate of intrinsic value ('30% on sale'). He considers it a high-quality elite company at a good price.

Nvidia is mentioned in the context of hyperscaler chip purchase agreements (given strong demand driving prepaid commitments) and accusations of circular financing deals. No direct investment view is given.

Nvidia is near record highs, but Ross warns AI sellers lose margin if intelligence becomes free. He says Nvidia and hyperscalers could go higher, but they could also fall 50% and drag the index down with them.

Host highlights Nvidia's furthering partnership with Palantir, its 2-gigawatt Australia buildout, $60B Japan buildout, and global AI factory expansion as very good signs for Nvidia and Palantir.

Cited as the primary GPU and networking supplier that Nebius and CoreWeave buy. Demand for Vera and Blackwell GPUs is described as surging, and Nvidia is said to want compute to become an asset class, which would benefit its business.

Cited as major validation/infrastructure enabler for quantum: Jensen Huang publicly reversed his skeptical stance, launched NVQLink to connect quantum processors to GPUs, and its venture arm invested in three quantum startups in a single week plus Quantinuum.

Host believes NVDA is extremely cheap at 28x trailing PE, 18x forward, benefiting from AI compute demand, H100 pricing up 22% MoM, and OpenAI's Astra model. He holds long-term and thinks the bet will be fine.

Nvidia's bull case is strong: dominant pricing power, massive free cash flow, high returns on capital, and a reasonable PE relative to growth. The host says under his middle assumptions, Nvidia 'could be a buy here,' though he remains cautious about cyclicality and sustainability.

Revenue and EPS are growing strongly, and at a trailing P/E of 32 and forward P/E of 19, the valuation looks like a deal.

106% revenue growth to $96B, highest operating margins ever, Rule of 40 at 173%, forward PE under 20x (cheaper than S&P 500), supply-constrained demand supports ~70% growth in fiscal 2028 with potential for even more.