March 17th to 21st, local time,$Nvidia (NVDA) $The annual event GTC Conference will be held in San Jose, California, USA. As the top summit in the global AI industry, it is expected to attract 25,000 participants to participate on site and another 300,000 participants to participate online. This conference is a stage for Nvidia to showcase its technological innovation achievements, and has a significant impact on the global technology industry structure and capital market.
On Nvidia's recent earnings call, its CEO Jensen Huang confirmed that the upcoming Blackwell B300 series, codenamed Blackwell Ultra, is scheduled to be released in the second half of this year. In addition to higher computing performance, the Blackwell Ultra card also comes with more memory (288GB), which is an attractive feature for customers looking to run and train memory-intensive AI models.
Nvidia's next-gen GPU series, the Rubin, will almost certainly be mentioned at the GTC alongside the Blackwell Ultra. Rubin, due to launch in 2026, promises to achieve what Jensen Huang calls a "huge, huge, huge advancement" in computing power.
Huang Jenxun said on the aforementioned Nvidia earnings call that he will also discuss Rubin products in the GTC. This could be a RubinUltra GPU or a GPU architecture after the Rubin series. (These chips are named after VeraRubin, the astronomer who discovered dark matter.
Huang Renxun recently stated that Blackwell has successfully achieved mass production and achieved billions of dollars in sales in the first quarter.
Wells Fargo analyst Aaron Rakers said ahead of the conference that the sharp decline in Nvidia stock in recent weeks is a "buying opportunity," giving the stock an "overweight" rating and a price target of $185. He pointed out that in the past five years, Nvidia's stock price has outperformed the Philadelphia Semiconductor Index by 7 percentage points and 2.4 percentage points in the week of the GTC conference and the two weeks after the conference, respectively, with average returns of 6.4% and 4.5%, respectively. The average P/E discount over the past three years is about 35%. Rakers expects the conference to discuss topics including CPO, Blackwell Ultra (GB300) rollout, post-training and test time expansion, Spectrum UltraX800, and Nvidia NVLink expansion.
Wedbush analyst Dan Ives believes that the Nvidia GTC conference will be a "turning point" for U.S. technology stocks to reverse their weakness. It is expected that the conference will bring investors' attention back to the "AI revolution and high technology spending", which is expected to stimulate Nvidia's stock price rebound. At present, technology stocks are affected by factors such as tariff pressure and economic recession concerns, and the market has strong negative sentiment. As a leading company in the field of AI, Nvidia's technological innovation and future development plans demonstrated at the conference may rekindle the market
Jefferies analysts said in the report that the upcoming GTC conference will "serve as another positive catalyst to help consolidate Blackwell's performance advantage and lay the framework for continued AI spending, especially in inference." With the continuous expansion of AI applications, the demand for computing power in inference scenarios is increasing day by day. Nvidia's technical layout and product release in this field will provide important guidance for market development and promote all links in the industry chain to increase investment in the field of AI inference.
If you decide to go long Nvidia at this time, you can consider the bull put spread strategy, which is a strategy with a high win rate and limited risk.
Bull Put Spread Strategy
A bull put spread involves selling a put option while buying another put option with the same expiration but a lower strike price (for the same underlying asset). Since the premium of selling put options is higher than the premium of buying put options, investors usually net earn premium.
When investors expect the market price to rise, but the increase is limited, and investors do not want to bear the consequences of a sharp market drop, they can use the bull market put spread strategy.
What are the functions of the bull spread strategy?
1. Earn premium with low risk: When investors want to earn premium income, the bull put spread strategy is ideal, and the degree of risk is lower than selling put options.
2. Buy stocks at lower prices: A bull put spread is a great way to buy a desired stock at an effective price below the current market price.
3. Make a profit in a volatile market: When the market falls, due to the huge risk of selling put options, by limiting the downside risk, the bull market put option spread can make a profit in a volatile market.
STRATEGY
Sell a put option with a strike price of 150 (expires April 17): Get premium = 2950.
Buy a put option at 120 strike price (expires April 17): Pay premium = $640.
This strategy isBull Put Spread, suitable for bullish or volatile markets.
Sell150 put options with strike price (premium income:$29.50）
BUY120 put options with strike price (premium payouts:$6.40）
Net Income Per Share premium= $29.50-$6.40 =$23.10
Maximum spread= 150-120 =$30
PROFIT AND LOSS ANALYSIS
(1) Maximum profit
The maximum profit occurs whenShares Above 150Both put options become worthless:
Total Revenue = Net premium of Revenue=$23.10 × 100 = $2310
(2) Maximum loss
The largest loss occurs whenShares below 120When, both put options are exercised:
Total Loss = Spread-Net Income premium
= ($30-$23.10) × 100 = $690
(3) Break-even point
Breakeven point =150-23.10 = 126.90That is, when Nvidia's stock price is higher than $126.90, the strategy is profitable.
Profit-loss ratio= maximum profit/maximum loss =2310/690 ≈ 3.35
Policy applicability: suitableBullish or volatileMarket, as long as the stock price remains at126.90 above, investors can make a profit.
Risk Control: because it isSpread portfolio, so the maximum loss is fixed and the risk is controllable.
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