Nvidia(US:NVDA) Hua Er Jie Jian Wen·2025-05-28 00:42Core Insights - Nvidia has achieved a significant breakthrough in the technology of its next-generation GB200 AI server racks, alleviating market concerns regarding its $43 billion quarterly revenue target [1][2][3] Group 1: Technology Breakthrough - Nvidia's supply chain partners, including Foxconn, Inventec, and Wistron, have resolved a series of technical challenges related to the GB200 server racks, leading to a rapid increase in shipment volumes [2] - Key issues addressed include overheating caused by 72 high-performance GPUs, liquid cooling system leaks, software bugs, and inter-chip connectivity problems, which previously threatened Nvidia's annual sales targets and negatively impacted its stock price [3] - The GB200 server rack integrates 36 "Grace" CPUs and 72 Blackwell GPUs, connected via Nvidia's NVLink communication system, positioning it as a powerful AI infrastructure [3] Group 2: Market Focus and Financial Outlook - The market is now focused on Nvidia's upcoming Q1 earnings report, with the company valued at $3.2 trillion and seen as a bellwether for AI demand [5] - Morgan Stanley's report indicates a clear path for Nvidia to return to growth in the second half of the year, as several mid-term concerns, including customer digestion cycles and GB200 bottlenecks, are being resolved [5] - Despite a 40% rebound in Nvidia's stock price over the past seven weeks, it remains approximately 14% below its historical high set in January, with a current P/E ratio of about 28, significantly lower than its five-year average of 40 [5]