Two things in markets have held true in 2024. One, the stock market opens and closes at the same time each day. And two, investors — large and small — love the AI trade. What’s not to like about companies at the leading edge of this exciting technology? Companies such as Nvidia are unable to keep pace with demand for their products, driving higher prices and profits. Even a legacy player like Intel is getting in big to all things AI.
I mean, and, and, and there was just, and, you know, we saw revenue less companies IP O like we just, we just don't see that today.Uh Do you think we will see it because of how promising the technology is if we're not in a bubble today? I think uh you know, people refer to it as and then, and then eventually, like, there's, there's a rebound on the other side where people say, oh, well, you know, like this thing really, you know, I guess mobile phones are, you know, here to stay and, you know, and, and people, like, you sort of get on board again and, and I think we're probably sort of coming down the slope into the trough of disillusionment where I think there's a lot of, I, I think, I think a lot of people...
Uh It's not, you know, you, you go down a lot of blind alleys and stuff like that and I think, I think the same is gonna be true um for a lot of other companies that are making these kinds of investments. Uh Not necessarily like there, there's, there's only so many public companies that are a, I, you know, uh companies.
And um, so it, you, uh that's where a I helps because for a human mind like to keep all those variables, you know, straight in your head and, and, you know, weight them differently for different size companies or different, you know, at different stages of their life cycle.I think A I is gonna help a lot now, you know, that's a complex task.
And that's why all these like hyper scalar are like spending billions and billions to buy as many chips as they can get from Jensen Times. You know, what, what do they have, what does anybody have to show for all that, those investments and stuff?So I, I think Tesla's got a lot of data. So um it's, it's, it's uh yeah, I should definitely put it, put in the A IC, you think, do you think their technology at the point where in our lifetime, I, we are looking at Tesla Robo Taxis and I bring this up August 8th event.Um, he's worked with Elon Musk um before and he doesn't see them.
R Yeah, they're probably uh they're, they're applying over at NVIDIA which brings us to uh one of our final topics here.And so this is, yeah, by the end of the year and here here's my, hold on, hold on, hold on, hold on a second. And then they have like a more humdrum earnings report and suddenly they, you know, those forward multiples drop dramatically.
Uh, and then it kind of quickly receded most of most of the last year, this thing has been like one standard deviation below the mean on a go forward basis. Um, so it might be then, or, or, you know, but, but certainly by November we'll have evidence of like the real operating results and we'll find out if some of these bears on NVIDIA who are saying like, oh, well, people have just been double triple ordering and it's gonna come back to earth is right?