$NVIDIA Corp(NVDA)$ The price of this stock is disconnected from fundamentals. The stock price is driven by sentiment which is still pretty good for this stock.
However, the narrative of "NVDA wins 100% of AI chip space and there's no close second" can and will change when the revenue starts slowing and margins start to compress.
Revenue growth will slow soon given that you can't keep up 200% revenue growth forever. In fact even if NVDA posts 100% revenue growth, that is still a narrative violation since that would represent a major drop in growth.
As far as margins compressing, It could be right that margins will stay fat for years. But as someone who follows the AI chip space closely, I see that the next big AI narrative is inference chips. And NVDA is going to have massive competition in this space in 1-2 years.
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