Nvidia(US:NVDA) Guoxin Securities Hongkong·2025-09-29 11:17Investment Rating - The report assigns a rating of "Accumulate" for Nvidia (NVDA.O) with a target price based on a favorable fundamental outlook [6]. Core Insights - Nvidia's CEO Jensen Huang expresses optimism about the continuous growth of global AI capital expenditures, estimating that approximately $5 trillion annually is needed to support AI systems capable of generating $10 trillion in GDP value [2]. - Huang emphasizes that Nvidia's competitive advantage lies in its total cost of ownership (TCO), asserting that even if competitors offer ASIC chips for free, the overall operational costs of their systems cannot match Nvidia's solutions [3]. - The strategic partnership with OpenAI is highlighted, with Nvidia planning to invest up to $100 billion to support OpenAI's growth, which Huang believes positions OpenAI to become the next trillion-dollar company [4]. Summary by Sections AI Capital Expenditure Growth - Huang maintains a positive outlook on AI capital expenditures, indicating that substantial investments are essential for AI infrastructure to meet the projected economic contributions [2]. Nvidia's Competitive Edge - The report discusses how Nvidia's positioning has evolved from a "chip company" to an "AI infrastructure provider," supported by three core pillars: the shift from general computing to accelerated computing, exponential growth in AI inference demand, and superior energy efficiency through hardware-software synergy [3][11]. Strategic Investments and Ecosystem - Nvidia's investments in companies like OpenAI are framed as independent financial decisions aimed at sharing the growth of the AI ecosystem, rather than being tied to chip sales [15]. - The report notes Nvidia's shift towards an open AI infrastructure platform, allowing collaboration with industry partners to enhance performance and design [15].