Core Insights - Warren Buffett, with a net worth of $155 billion, is recognized as a leading figure in value investing, primarily achieving his wealth through stock market investments [1] - The distinction between growth investing and value investing is highlighted, with Buffett emphasizing that growth is a critical component in assessing value [2][6] Company Analysis: Nvidia - Nvidia's GPUs, initially designed for gaming, have expanded their applications to cryptocurrency mining and AI, significantly boosting the company's stock appeal [3] - At the start of 2023, Nvidia's stock had a high P/E ratio of 62, which deterred traditional value investors, especially when compared to the S&P 500's P/E ratio of about 22 [4] - Despite the high valuation, Nvidia's stock was retrospectively a strong value investment, with a share price of $14.50 reflecting a valuation of less than 5 times its reported EPS of $2.94 for fiscal 2025 [5] - Nvidia's EPS surged from $0.17 in fiscal 2023 to $2.94 in fiscal 2025, indicating a 17-fold increase in profits over two years, which supports the argument for its value proposition [7] Investment Principles - Investors should focus on future financial results rather than past performance, as emphasized by both Buffett and investor Bill Miller [8] - Understanding a company's future growth potential is essential for evaluating its stock value, and investors should operate within their "circle of competence" to make informed decisions [9] - This approach can prevent investors from missing significant opportunities, as seen with Nvidia's stock performance, which increased over 700% since the beginning of 2023 [10]

Core Viewpoint - Nvidia's stock experienced a decline of 16% following news of a Chinese AI start-up, DeepSeek, which developed a cost-effective training method for AI models, raising concerns about demand for Nvidia's GPUs. However, Nvidia's CEO Jensen Huang suggested that the emergence of new AI models could actually increase GPU demand instead [1][2][17]. Financial Performance - Nvidia reported record revenue of $130.5 billion for fiscal 2025, marking a 114% increase from the previous year and surpassing management's forecast of $128.6 billion [5]. - The data center segment contributed $115.1 billion to total revenue, reflecting a significant 142% increase year-over-year [5]. - The company began shipping its new Blackwell GB200 GPUs in fiscal 2025's fourth quarter, generating $11 billion in sales, the fastest product ramp-up in Nvidia's history [6]. Product Innovation - The Blackwell GB200 GPU can perform AI inference at speeds up to 30 times faster than Nvidia's previous flagship chip, the H100, enhancing the efficiency of AI applications [7]. - Nvidia plans to scale up production of the Blackwell GPUs due to high demand from customers, indicating a robust market appetite for AI computing power [8]. Market Dynamics - DeepSeek's V3 model was trained for only $5.6 million, raising concerns about the competitive landscape for AI development and the potential impact on Nvidia's market position [9]. - Despite DeepSeek's innovations, major AI developers like OpenAI are shifting towards "reasoning" models that require significantly more computational resources, which could drive demand for Nvidia's chips [14][15]. Stock Valuation - Nvidia's fiscal 2025 earnings per share (EPS) was $2.99, resulting in a price-to-earnings (P/E) ratio of 42.5, which is 28% lower than its 10-year average of 59.3 [16]. - Wall Street's consensus estimates suggest Nvidia could achieve an EPS of $4.49 in fiscal 2026, leading to a forward P/E ratio of 27.7, indicating potential for significant stock price appreciation [16].

MACRO: WHAT IS VULNERABLE IN ASIA TO THE FALL IN NVIDIA 宏观：亚洲在英伟达下跌中脆弱的是什么 Last week we looked at the correlations of Asian companies with Bitcoin and showed what seemed to be surprisingly high correlations. We suggested that these correlations were happening as a result of excess liquidity which has been declining since November as a result of the fiscal debt freeze, contraction of global central bank balance sheet, the unwind of the yen carry trade and USD strength caused by tariff concerns. A rise in rea ...

4 March 2025 U.S. Semiconductors NVIDIA (NVDA): It seems so over, but we could be so back... Stacy A. Rasgon, Ph.D. +1 212 756 4403 stacy.rasgon@bernsteinsg.com Alrick Shaw +1 212 969 1458 alrick.shaw@bernsteinsg.com Arpad von Nemes +1 212 969 1518 arpad.vonnemes@bernsteinsg.com It's been a rough year for NVDA so far...The stock (along with many of its AI-semi peers) has suffered, battered by a storm of growth fears, supply chain noise, and tariff and regulatory risks. And after several stellar years of ret ...

证券研究报告·海外公司点评·半导体 英伟达（NVDA） FY2025 业绩点评：B 系列出货超预期，下游 高需求及自身高壁垒仍然存在 买入（维持） | [Table_EPS] 盈利预测与估值 | FY2024A | FY2025A | FY2026E | FY2027E | FY2028E | | --- | --- | --- | --- | --- | --- | | 营业总收入（百万元） | 60,922 | 130,497 | 209,239 | 260,313 | 322,829 | | 同比(%) | 125.85 | 114.20 | 60.34 | 24.41 | 24.02 | | 归母净利润（百万元） | 29,760 | 72,880 | 114,140 | 143,074 | 178,263 | | 同比(%) | 581.32 | 144.89 | 56.61 | 25.35 | 24.59 | | EPS-最新摊薄（元/股） | 1.22 | 2.99 | 4.68 | 5.86 | 7.31 | | P/E（现价&最新摊薄） | 93.52 | 38.19 | 24.38 | 1 ...

证券研究报告·海外公司点评·半导体 英伟达（NVDA） FY2025 业绩点评：B 系列出货超预期，下游 高需求及自身高壁垒仍然存在 买入（维持） | [Table_EPS] 盈利预测与估值 | FY2024A | FY2025A | FY2026E | FY2027E | FY2028E | | --- | --- | --- | --- | --- | --- | | 营业总收入（百万元） | 60,922 | 130,497 | 209,239 | 260,313 | 322,829 | | 同比(%) | 125.85 | 114.20 | 60.34 | 24.41 | 24.02 | | 归母净利润（百万元） | 29,760 | 72,880 | 114,140 | 143,074 | 178,263 | | 同比(%) | 581.32 | 144.89 | 56.61 | 25.35 | 24.59 | | EPS-最新摊薄（元/股） | 1.22 | 2.99 | 4.68 | 5.86 | 7.31 | | P/E（现价&最新摊薄） | 93.52 | 38.19 | 24.38 | 1 ...

NVIDIA Corporation (NVDA) has once again delivered a stellar earnings report, reinforcing its dominance in the artificial intelligence (AI) and semiconductor markets. On Feb. 26, the company reported fourth-quarter fiscal 2025 revenues of $39.33 billion, marking a 78% year-over-year surge and surpassing the consensus estimate of $37.72 billion.With a record-breaking data center segment and strong demand for AI-driven computing solutions, NVIDIA's growth story remains compelling. Strong fundamental growth dr ...

These last two weeks have been uncomfortable for investors as the stock market has rapidly corrected nearly 10% off its recent highs. Fresh news about incoming tariffs, major federal spending cuts and rising geopolitical tensions have created an environment of uncertainty as the new administration shakes up the global economy.While it can be easy to get caught up in the bearish news, and I do believe this remains a market where investors should be cautious, buying opportunities are beginning to arise. Most ...

Nvidia Corporation (NASDAQ: NVDA ) is now, on a split-adjusted basis, worth tremendously more than it was in January 1999. If you have owned this power-under-the-hood technology innovator for any reasonably long investmentA freight forwarding professional with over 20 years in the industry, I am an enthusiastic market participant with a flair for picking gems from the general rubble. My industry experience has given me insights into human behavior, investment psychology, and the need to make money work for ...

Nvidia releases earnings quarterly.On calls with investors, CEO Jensen Huang answers questions about the underlying trends impacting AI.The company's latest earnings call was dominated by its next-gen Blackwell GPU and profit margins.Nvidia, the company behind the GPUs that enable AI chatbots like ChatGPT and Grok, releases its earnings quarterly. Typically, Nvidia CFO Colette Kress walks investors through the quarterly results.Then, co-founder and CEO Jensen Huang answers questions on the calls, offering i ...