To The Moon

At a time when demand for electronic products is weakening, there is a global surplus of wafers. This oversupply means that the two-year global chip shortage under super strong demand has suddenly become a thing of the past. With rising interest rates, falling stock markets and rising recession fears, consumer demand for electronics has weakened. Chip inventories are increasing, a microcosm of the broader economic environment, and retailers are now left with stagnant goods on their shelves, with manufacturers of many products that were in high demand at the beginning of the epidemic now facing a glut.

The current situation in the chip space is good news for consumers, who can get their hands on everything from washing machines to laptops sooner than a year ago, and sometimes even cheaper. For chipmakers, the change has triggered a wave of layoffs and capital spending cuts as companies try to repair the profitability levels that have been eroded in recent months.

$NVIDIA Corp(NVDA)$ NVIDIA said the company's customers are trying to deplete existing inventory before replenishing and purchasing these latest processors.

Inventory is expected to be close to normal by the end of NVIDIA's current fiscal quarter, which ends in January.

Others expect the turnaround to occur later in the year. Micron said it expects this situation to persist through the first half of the current fiscal year; Micron's fiscal year ends in September, and Mehrotra said on a conference call with analysts that it expects most customers to reduce their inventories to a healthy amount by mid-2023.

It's not just PC shipments that are hitting chipmakers; they are expected to see the biggest drop in PC shipments in more than 20 years. Smartphone sales have also been sluggish. Micron said it is lowering its forecast for cell phone shipments this year from its outlook three months ago.

I would suggest that NVIDIA could move into the military direction, as military technology has great potential, for example, by looking at other technology companies $TSMC.US  that are also involved in the defense sector to generate steady revenue. I believe my suggestion to Intel is worth considering; if NVIDIA can develop in the military can not be affected by the surplus of chips and affect the overall company revenue and can still stabilize the technology market, this is my personal thoughts on NVIDIA.

In addition, the high interest rate environment has led to a weakening of demand for electronic products, except for daily necessities are not affected, the demand for other non-essential goods has decreased greatly, which means that people are prudent in managing their finances and will not relax too much in spending, resulting in a decrease in the flow of consumption in the market. The above suggestions I made to INVISTA will help to have a stable source of income and make a name for INVISTA in the military, thus making it possible for INVISTA to go to the next level. I think we can consider a pullback in INVISTA to US$108 to enter the market and sell at 187 to earn about US$79 per share, and a stop loss below 102 to reduce the risk of loss. I don't recommend investing in INVISTA for the long term, because technology stocks are affected by the interest rate hike cycle and are subject to great stock price shocks.

@MillionaireTiger @TigerStars @CaptainTiger