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✍ Stock MVP at 40% OFF for a lifetime access code LAST50
✍ https://www.stock-mvp.com
Nothing in this video constitutes tax, legal, financial and/or investment advice, nor does any information in this video constitute an invitation and/or solicitation to invest in a particular security. This video merely expresses the author’s opinion and should be viewed as such. Before proceeding with any investments, you should do your own research and seek advice from an independent licensed professional.
The author of this video does NOT accept liability for any investment decisions, as this video is provided only for educational and entertainment purposes. Although the author has endeavored for the information in this video to be correct and accurate, he does NOT assume liability nor does he guarantee that the data will be updated, correct and/or accurate at all times.
Foreign Golden Boy Jensen Wang is now dumping chairs on you miserable bag holders retail investors now. I Said this is what happened two weeks ago when I told you that Nvidia is overvalued. Nobody wanted to listen all these hate comments, everybody telling me I'm an idiot and now the CEO of the company actually confirmed what I said. The CEO of the company is now telling you that the company is overvalued.
Lo and behold. Now yesterday, Jensen Huang sold about 42 million dollars worth of Nvidia stock. Now he's not the only one. Over the past three months, insiders have dumped a quarter of a billion dollars worth of stock on you retail investors and the amount of shares they bought in those 90 days were pretty much close to zero.
So it's not just gents. And Wing by the way, Jensen Huang actually got about 90 000 shares yesterday as compensation at about four dollars per share, which is just slightly below the current market cap of the company just slightly. And obviously he had to pay out of pocket about 360 000. So it makes sense that he sold 40 million.
So now that we accounted for why he sold 360 000 worth of stock, why would he sell the other 40 something million? Because if the company is still going to the Moon, why would he? Well, there's a tax liability here which is 100 true. If I just gave you 40 million dollars in compensation, you have to pay tax on it. which is very, very similar to what just happened here. and he will pay taxes for this but his tax liability is going to be at maximum about 50 of this.
So his tax liability at maximum is 20 million dollars. So with 20 million dollars worth of taxes, 360 000 to pay for the stock I Don't know I'm missing about you know, 20 something million dollars here. Where are they? Well, they are proof that the CEO of the company is now telling you that this stock is insanely overvalued. Now he cannot sell more than that because it's going to cause a stampede like one of the Mara River stampedes and the nature films with you know David Attenberry with the Wilderbeast trying to Stampede through the river.
so he's selling just enough not to cause a panic, but just enough to get a taste of the sweet sweet price of the 450 per share. On top of that, Nvidia is currently dealing with a PR nightmare at least on X. A few people next are saying that Nvidia has 2.3 billion dollars worth of GPU sales that are absolutely fake. The company called Core Weave which has something to do with Nvidia and Blackstone I couldn't really figure that all the way through.
I Don't know how real this is by the way, if this is real, my goodness. but if it's not, it's just another bump on the road. But at the end of the day after I've been saying that this company is overvalued for the past few months and now we're seeing: Jensen Huang dumping his shares and now we're hearing talks and chatter about potential fake orders. Allegedly I'm not relaxed about the stock at all.
Now Look, even if you don't believe me, you don't have to do a DCF You don't have to do a PE price or sales ratio analysis. Look at this company. This stock ran up 240 in the past year. 240 in the past year. There ain't a single stock in the world. It's gonna run up 238 240 in the single year and not correct and not pull back. It doesn't happen. No stock goes straight to the Moon correction has to come.
A Pullback has to come, especially if you look at the actual evaluation of this company which is absolutely Bonkers ridiculous. The price to sales and videos country trading at is 35. Now if you compare it to Tesla which is a traditionally insanely expensive company, Tesla is trading at eight and a half price to sales. So these guys are trading more than four times more expensive than Tesla on price to sales.
their PE is 110 price to earnings Tesla's 65. it's almost double PE Then Tesla price to book 80. I've never seen Price to Book 80 in my life. Absolutely insane.
Tesla is 16. in every single comparative metric of valuation of this company, it's There's no other way to explain this. This valuation is total horseshit. It's absolutely diddly do squat.
Nothing cannot be justified at 450 now. I actually ran a DCF on this and my head exploded. So I've given them I assume they're going to get 60 of EB that growth for the next five years every single year. 60 for five years I gave them 12 discount rate and I got a fair market value of 220 dollars for the stock.
So assuming Nvidia can grow at 60 a year on average for the next five years, it's a 220 stock. And the only way I could get to 450 per share right now is by giving it 85 annual growth of Ibida for the next five straight years. Which if you ask me, there's more likelihood of Grandpa stopping drinking alcohol and stop embarrassing me on Christmas nights than this ever happening now. Grandpa Stories aside.
Final few things about Nvidia The hype makes people jump into stocks. This excitement gets people all filled with dopamine. They want to get a part of this, a piece of the pie. They want to taste the good life.
The problem is that by the time that you heard about this, by the time that you're seeing this at 450 dollars, it's sort of like I Don't want to say it's a pyramid scheme, but it's a pyramid scheme-like Behavior The stock market has a lot of in common with pyramid schemes I'm not talking specifically about Nvidia But in the stock market whenever a stock runs up like crazy and now you're getting in, well, there's a good chance that you're the last sucker through the door because if you do play poker, you know that if you don't know who the sucker on the table is, it's probably you who's the Patsy. So to me and again, I'm not saying that Nvidia is a scam. I'm not saying it's a pyramid scheme, but to me, when a stock runs up 240 percent and now it's trading at ridiculous values, there's rumors and allegations of fakeness. The CEO is dumping more shares than he has to pay tax, Their ratios are absolutely out of this world. I Put this thing into stock MVP and it almost blew up my computer because the you know the analysis came back like what the when they seal of this I Don't know how anybody in their right mind can think it's a good time to invest in video and if I was holding shares in video by the way, this is not Financial Advice: it's my own personal opinion. I would be shaking in my boots at 450 to stand. but again, you do you? I Do me. We have a few spots left on our patreon to join a group and the academy is absolutely going crazy.
Yesterday we had lesson nine. We talked about how to actually analyze balance sheets and we use PayPal as a great example of that. Join the academy, there's a few spots left would love to see you there. I'll see you next video say hi to Jensen Huang For me,.
That slap at the beginning is fun lol
See you back here in 3 months. Lets see how NVDA is then. If I had listened to you on PLTR, I would be minus zero by now.
It is definitely overvalued.
He might be buying a mansion for himself.
What do you think about selling NVDA and invest the funds in Adyen! I am thinking about doing that!
Adyen is a great company with a lot of potential, but dropped like a stone a couple days ago, Fintech in general has been beaten the last couple months due to interest rate hikes, But Adyen is not in the borrowing money business, its a payment processor. Tesla is using Adyen to process Supercharger payments for instance.. which means when Tesla is growing its Supercharger business, Adyen is growing with them somewhat automatically.
I have sold half of my NVDA shares lately and invested in Palantir and Solar Edge, which are IMHO undervalued right now… I just keep 50% in NVDA just to not missing out, but I may after all if it goes up a little more just based on hype.
i am talking for years how ridiculously overvalued this is, sold my shares at 160 in 2022 (buy in around 112), cuz i found it too expensive even at 160. but sentiment is a bitch, and when all jump on it, inlcuding fund managers (cuz they have to, dont underperform the market, so buy whats taking the market up is an obligation here). adding short squeezes to that and ull have a ridiculous runup no one can justify. and whats for sure is that the pullback to where the numbers are fair will come, no one knows when, could take years, but it will come.
if the rumors can be proven as true, this might get pretty fast. i gladly take shares under 100 from the panic sellers tbh
Hi Tom, Can you have a look at NVO? Thank you!
Plus, Huang owns 3.5% of NVDA…
OVER 86.5 MILLION shares Tom.
Why didn't you bring that out?
90000 shares for 42M is NOTHING. That's like less than 1% of his net worth.
He has 49 BILLION left.
C'mon Tom. Everytime I think that you've done an objective video on a hot topic it only turns out full of half truths. Granted there's no lies, but hiding the facts is misrepresentation tantamount to falsehoods.
Expected much better from you.
I guess grandpa has to die 😅
Sold it when you did your video on it . Made out like a bandit . Thanks Tom Cash .😂
Tom just angry he got left holding the PLTR bag and missed the boat on NVDA
Tom u are so right. Watch Samantha Laduc in Coreweave. She is legit, bern following her for long time. The stock market is manipulated by the hedge funds And we will all be left holding the bag .
Thank you for your insight. I sold Nvidia when it doubled so fast. I really like $pypl as deep discount. If the new CEO executes and a macro gets better than it can fly in 1-2 years or sooner. What cha think?
I don't think people are taking in consideration inflation. They say inflation caused the stock price to go down but in reality the money's not as good so the price should go up.
That poor notebook!!! Love you dude!
Grüß Gott Tom!
Just saw an Cathie Wood Interview about Enomics Medicine. What do yo think about Intellia, Edita and CRISPR ?
Servus
How about just investing in super micro ?
Yeah, I’m all about letting my winners ride but my cost basis is $47, so I had to take some profits. Hardest thing for me in investing is knowing when to sell.
Ok now do a same dcf analysis for pltr and let me know its fair value
So…at $220 share price, NVDA still has to hit 60% growth in the next 5 years to $450. I doubt NVDA will drop to $220 again. I buy in when NVDA is in range around $300.
Lol Tom. Love my guy but relax. I’m a Nvidia and Tesla bull but the times the elon has dumbed shares and saying that he wouldn’t is unprecedented. Don’t dump on an incredible US company. Read the Tesla earnings call. If you fade Nvidia you fade Tesla. Elon praised that man too the moon. Is Elon in the scheme too 😂. C’mon my guy
Hey Tom thank you you tell it like it is people just have to listen
Big deal that’s a small percentage of his holdings people like to have money you know
Tom, WHAT are other potential OVERVALUED STOCKS?
Good Acting…… thanks for spreading fear !
They are recognizing datacenter revenues on contract signing, not when the money is in the bank. Datacenter is the top revenue line.
Lmfao.. they put out news to buy and dumb retail buys.. while smart money sells….. classic
Breakdown Dan Ives poaition on NVDA for us or get him back on the show to talk through his thoughts.
it was a bait and switch.
don't get me wrong Nivida is a good company going to be a money maker for sure. But there were 3 companies involved in loans. and because of how Nivida accounting is done. showing money that was in the pipeline not in their hands, they showed more profit than there was. and one of the companies Black Rock who bought into Nivida as well as giving loans. set a call order at a certain price. and when it hit that mark their orders were automatic and cause a huge drop because they were so big. Just people taking advantage of the system.
David attenberry 🍓🫐🍒
Can you smell the BS I'm stepping in? LOL
Always on point , No BS !
Imagine y’all shop Black Friday deals
But don’t want to buy stocks during Black Friday deals, ya wanna buy them at all time highs!
All the people in the comment section that think NVDA is a good long term but @ $450 is mind boggling to me!
Is it a trade sure
Is it an investment for me at $450? Helll no
Not now.
Is it worth $450 today right now? Nope
"DO THIS ASAP"
I call that financial advice!
Hysterical financial advice!
No, you are not an idiot. Just some hit, some misses. Overall very good
Go ahead and short it