NVIDIA at least makes money. Their TTM P/E is around 45. The average is like 25 right now for the S&P iirc, which is above historical averages of ~15, but has been the new normal for like 20 years at this point. We’re in a bubble, but NVIDIA is selling the picks and shovels, so they’ll won’t go bankrupt once it pops.
They’re also financing the sale of said picks and shovels based on the value of the picks and shovels the purchasing company bought last week. Nvidia does have value, but the way the finances work is deeply concerning
NVIDIA at least makes money. Their TTM P/E is around 45. The average is like 25 right now for the S&P iirc, which is above historical averages of ~15, but has been the new normal for like 20 years at this point. We’re in a bubble, but NVIDIA is selling the picks and shovels, so they’ll won’t go bankrupt once it pops.
They’re also financing the sale of said picks and shovels based on the value of the picks and shovels the purchasing company bought last week. Nvidia does have value, but the way the finances work is deeply concerning