X @郭明錤 (Ming-Chi Kuo)

Days Sales Outstanding (DSO) Analysis - Critics argue Nvidia's DSO increase from an average of 46 days in FY2020-2024 to 53 days in Q3 FY26 indicates financial irregularities [1] - The increase in DSO is reasonable due to accounts receivable concentration, with major customers' share rising from 238% in FY2020-2024 to 65% in Q3 FY26 [2] - Cloud service providers (CSPs) have significant bargaining power, leading to longer payment terms and influencing DSO [3] - Comparing Nvidia's DSO to suppliers with similar CSP customers, such as Arista, Celestica, and Vertiv (whose DSOs typically run above 60-70 days), makes Nvidia's 53-day DSO appear reasonable [3] Inventory Analysis - Critics describe the 32% QoQ increase in Nvidia's Q3 FY26 inventory as a "paradox," citing Q2 FY23 as a counterexample [3] - Q2 FY23 inventory increased by roughly 23% QoQ to USD 3889 billion, contradicting the claim of an 18% decline [4] - The 32% increase in Q3 FY26 inventory aligns with the ramp in upstream capacity, as TSMC's CoWoS average monthly output grew by roughly 25-30% QoQ to around 60 thousand wafers per month (kwpm) in 3Q25 [5] - Work-in-Process (WIP) represented 442% of Nvidia's total inventory in Q3 FY26, surging about 98% QoQ to USD 8735 billion, reflecting the ramp and mass production of the new Blackwell B300 GPU [5]