Why I’m Still Bullish on Nvidia

Well, it’s official. The artificial intelligence (AI) boom is still in full swing…

Market darling, this year’s top stock, and the new poster child for the burgeoning AI market Nvidia reported earnings late last week.

And the company blew the roof off the house…

Net sales were up more than double from the prior year!

Earnings per share (EPS) jumped by an astonishing 429% year over year!

That’s explosive growth that makes me happy I didn’t sell my long-term Nvidia stake earlier in the year when shares jumped after similarly impressive earnings.

And the reason for all that growth? Simply put, the answer is data centers.

Those are where the internet lives. They’re the massive server farms where companies rent out space to store their data.

They’re what allows society to function with so much technology because they store all the data we create and rely on and allow easy access to it.

In essence, they’re the cloud you used to hear so much about in the 2010s.

And according to Nvidia CEO Jensen Huang, “The world has something along the lines of about a trillion dollars’ worth of data centers installed in the cloud and enterprise and otherwise.”

Now that trillion dollars’ worth of data centers is all in the process of transitioning to support the growth of accelerated computing and generative AI.

In Jensen’s words, “We’re seeing two simultaneous platform shifts at the same time.”

And since Nvidia not only designs the best chips in the industry, but also shifted focus to AI and accelerated computing years ago and has a HUGE leg up on the competition, it's getting the lion’s share of the upgrade business.

That’s driving up sales at a massive clip. I mean, for a trillion-dollar company to grow sales 100% in a year…

That’s practically unheard of. And it doesn’t look like that shift has played out yet. In fact, it seems to be in its very early innings.

So while I might not add a whole lot to my position at these sky-high valuations (Nvidia trades at a trailing P/E of 114 and a forward P/E of 60), I’m still bullish on the stock and think the analysts are right when they say it’s going higher in the long run.

But I’m not here to tell you to take a stake in Nvidia — although it might not be a bad idea if you see a pullback.

Instead, I want to talk about AI as a whole and its potential to really change our lives for the better.

Don’t Get the Wrong Idea

Because I get the feeling, when talking to folks out at the bars and restaurants around my new home, that a lot of people aren’t sure what to make of this new technology.

Many people seem worried it’ll take jobs from hardworking Americans. And it might, if those Americans refuse to adapt.

But if they take advantage of the technology, they’ll become far more efficient and their jobs will become far less taxing.

Others seem to think it’s just a toy, a frivolity for people to play with so they can pretend to be chatting with Martin Luther King Jr. Or a cheat code for students to use to get out of writing term papers.

But it’s so much more than that. Artificial intelligence won’t just make us more efficient at our jobs…

And it won’t just make our tasks less taxing on our minds and bodies…

It will also open up the world to nearly 10% of the population that’s been unable to access all the technology and information we take for granted every day.

Why Not Knowing How to Read or Write Is a Big Deal

You see, according to UNESCO data, there are over 781 million adults in the world (10% of the overall population) who can’t read.

And while that might not seem like such a big deal at first, when you think about it, illiteracy can have a lot of repercussions, both physical and emotional.

We’re surrounded by the written word all day, every day. And not being able to comprehend it can have a huge impact.

First off, if you can't read or write, finding a good job can be really hard. Most jobs ask you to read things, fill out forms, or use a computer.

If you can't do these things, you’re likely to end up with jobs that don't pay much.

And for countries with many people who can't read or write, it's like having a car with a lot of flat tires; they just can't move forward as fast as they want to.

Then there’s the next generation… If parents can't read or write, it's tricky to help kids with school stuff.

Homework? Reading bedtime stories? These things get tough. So the kids might have a hard time at school too.

That just leads to another generation of people cut off from a lot of society, waiting in the wings.

But that’s not even the worst of it. Think about medicine bottles, doctor's notes, or health tips online…

If you can't read them, it's a guessing game, which doesn’t sound very safe to me.

Plus, as we’ve all recently experienced, there are people (and agencies) out there who might give out incorrect or misleading information, making things confusing.

And speaking of people misleading people, that’s another risk you run if you can’t read or write.

Contracts, forms, rules… they're all in writing. If you can't read them, someone could easily trick you.

It's kind of like playing a card game where only your opponent knows the card values, so you’ve just got to trust him.

All those issues and more combine to really hold people back if they lack the ability to read and write.

Opening up the World and the Future

But all of those issues could soon be in the past thanks to miraculous advances researchers are making in a field known as voice AI.

It’s those advances that could open the world up to this group of nearly 1 billion people (and the economies of the countries they live in) who’ve been being held back by their literacy level.

While we’re all pretty familiar with voice assistants like Siri and Alexa, they’re not AI-powered at all. And those are just pre-programmed responses we’re getting from them.

They’re not able to have a real conversation because they’re just computer programs that were coded to respond a certain way to certain prompts.

And they’re also not great at understanding people with accents or who speak lesser-known languages or dialects.

If you speak to Siri or Alexa in pretty much anything but the preferred accent and dialect for the language you’ve chosen, they can’t understand a word you just said.

That’s not very helpful. But a far more helpful solution is just over the horizon and approaching quickly.

You see, researchers have been working for decades on AI-powered voice assistance software that’s able to understand any dialect of any language spoken in any accent.

So, say I were to call a help desk. I’m learning to speak better Spanish, so I want to practice with the agent.

I press "2" for Spanish and proceed to speak Spanish with my somewhat American accent.

But my wife is from Venezuela. She grew up in Caracas. So on top of my American accent, I’ve also got a little bit of a regional Venezuela accent.

And I’ve learned some of the regional dialect too. That’s like the difference between New Yorker English and Mid-Atlantic English.

But the AI-powered voice software that’s assisting the call center that fields my request doesn’t skip a beat… because it can understand my American-accented, Venezuela-infused, Caracas-tinged Spanish just fine.

Now, imagine if it’s not a call center but rather the website of a bank…

And I’m going there to set up the first bank account my family has ever had because I finally have the power to read the forms.

Not only that, but I can also ask questions. And no matter what language I speak, which dialect of it I’ve learned, or how thick and what kind of accent I have when I speak…

I’m heard, understood, and answered in kind so that I can understand just as easily as if I were talking to an old friend.

That’s a monumental achievement that can mark the turning point for not just an individual, but his (or her) entire family.

Now that they’ve got that bank account, they can save money. Or if they need assistance, there’s a place for the assistance to be deposited for easy access.

We’re on the Verge of a MAJOR Breakthrough

And that’s just one example of how truly transformational this technology is and how impactful it’s going to be on our lives and that of our fellow man.

There are countless others…

The forms for getting that assistance I just mentioned.

The forms for applying for identification and passports.

The forms for applying for a job and then performing that job.

I could go on for pages about how this technology will change the world for the better. But I won’t.

I think this one example makes the case pretty well.

And it’s companies like the one in my latest exclusive investor presentation that are at the forefront of this next breakthrough in AI tech.

In fact, this one’s been perfecting its software for nearly 20 years. And it’s finally seeing the fruits of all that labor.

Nearly every week, it’s announcing a new partnership, product launch, or blowout sales number.

And while the market’s paying attention to megacap stocks with tangential connections to AI like Microsoft, Google, and my favorite trillion-dollar company, Nvidia…

Savvy investors are piling into this undervalued, practically unknown company…

When It’s VERY Fashionable to Be Early

We’re talking about institutional investors and hedge funds, too. The thing is, their analysts aren’t ringing the bell or pounding the desks yet.

Because they’re still building their positions in anticipation of the rally they’re sure is coming. But you can rest assured…

As soon as they’ve gotten the kind of exposure they want for their elite clientele, they’ll start making the rounds on all the financial programs, pounding the table about how bullish they are.

That, plus the steady success this company’s already seeing with its groundbreaking new technology can only lead to one thing when it come to the stock.

And that’s a rocket ship-like trajectory straight up the charts as the herd piles in and drives up the profits for the early investors.

Now, personally, I like to be early…

I started investing in Nvidia back in 2017, before most people had even heard of its processors outside of the gaming industry.

That’s paid off well for me, as my average buy price is somewhere around $70, the stock is trading somewhere around $500, and I’m looking at a 600% gain.

This time, I’m convinced the profit potential is even better, because instead of going from the $70s to the $500s over the course of a decade…

This one could go from under $5 to over $50 in a year. And then keep moving higher.

In all, this one’s still so mispriced that it could return over 5,000% before all’s said and done.

That's why I'd like to open limited access to my presentation today (and today only) to you, the members of our larger Wealth Daily family.

I want everyone to get the chance at the kind of life-changing gains that I see coming down the pike. But I can only keep access open for so long.

So check out my investor presentation now, before I’m forced to restrict access back to the members of my premium advisory service.

And get yourself invested before the big players start shepherding the herd of rank-and-file folks into these shares and driving up our profits.

To your wealth,

Jason Williams

@TheReal_JayDubs

Angel Research on Youtube

After graduating Cum Laude in finance and economics, Jason designed and analyzed complex projects for the U.S. Army. He made the jump to the private sector as an investment banking analyst at Morgan Stanley, where he eventually led his own team responsible for billions of dollars in daily trading. Jason left Wall Street to found his own investment office and now shares the strategies he used and the network he built with you. Jason is the founder of Main Street Ventures, a pre-IPO investment newsletter; the founder of Future Giants, a nano cap investing service; and authors The Wealth Advisory income stock newsletter. He is also the managing editor of Wealth Daily. To learn more about Jason, click here.

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