'Fast Money' traders talk Nvidia as the semiconductor giant partners with several big names

Jensen Hong is seemingly doing everything right. I mean, short of

everything right. I mean, short of gifting President Trump a golden GPU, he is ma he is, you know, courting the president in terms of echoing some of the sentiment that the administration

has regarding uh manufacturing in in America, etc., and then also making all these partnerships, which seems to be the way to put market cap onto your company these days. Inc, a partnership

and and the rest will follow.

>> Well, he even referred to it as a virtuous cycle. Um and so at what is

virtuous cycle. Um and so at what is called today was called in in in unofficially the Super Bowl of AI and you know all the companies whether it's Palanteer, Crowdstrike, you know, you name it. Um these are the companies that

name it. Um these are the companies that certainly will be part of it and what we've already learned about Nvidia over the last call it two months is that they really are a an AI infrastructure company and the way they are investing

and way they these deals have seemed somewhat circular in nature. just

getting to the numbers that we got that the analyst community now is scrambling over and what it means for valuations and a 4% move in Nvidia is probably the bigger move we've seen in Nvidia in a long time. Uh if you read at least some

long time. Uh if you read at least some of the analyst reports that I'm getting uh what's been implied by this 500 billion or half a trillion number is uh a lot of the street was somewhere

between Blackwell uh and Hopper somewhere around 350 to 400 at the higher end. So it means what we heard

higher end. So it means what we heard today is probably some increase of anywhere from 25 to 50% on what the street was expecting in terms of shipments between now and the end of 26.

That's extraordinary and Nvidia's always been this story where uh we've all known it was extraordinary and it was just how much more extraordinary. I think today was more extraordinary.

>> 100% Tim's right and you mentioned his he has a fiduciary responsibility to his shareholders and he's doing it extraordinarily well. So good for him.

extraordinarily well. So good for him.

Making deals, currying favor, all those things. Problem I've had incorrectly has

things. Problem I've had incorrectly has been, you know, price to sales. Now you

said $5 trillion. Let's round up. I

mean, this is a company now that's approaching 19 times revenue, which is a big number at this mature of a company, I think. But people will say it's a new

I think. But people will say it's a new paradigm. They will grow into that

paradigm. They will grow into that revenue. We shall see November 19th with

revenue. We shall see November 19th with this market move. That's when report.

It's going to be a fascinating day.

>> Yeah. You know, it's also interesting the clout that Jensen now is having. You

know, when uh you know, the president threatened to send troops to San Francisco. Uh Jensen was one of the CEOs

Francisco. Uh Jensen was one of the CEOs that got him on the horn and and he stepped back from that. And so, you know, we talk about this transactional nature that this administration has with business and I think that's a great example of it. You know, the one thing

I'd say about Nvidia and Mel, you just said that, you know, one way to add market cap to your company is do a deal with them. Well, Uber closed down in the

with them. Well, Uber closed down in the day. Palanteer actually was unchanged on

day. Palanteer actually was unchanged on the day and at some point it's not going to be that exciting to do a deal with them that's on the come in the future and I think when you you know there's been hundreds of companies that Nvidia

has invested in over the last few years and a lot of those investments have to do with these companies that was the Uber deal of buying these chips. So when

you get this half a trillion dollar number and this company's expected to do let's say $300 billion in sales next year you have to start scratching your head a little bit whether we're getting a little too far over our skis. And then

the other thing about this circular nature of all this investment and then they buy the chips back, you know, this is becoming very financialized. You

know, it used to be you sell a product, someone buys the product, they put in work, they get a profit from it. If it

goes really well, then they buy your next product, right? So you think about it now, a lot of this the the financings and all this stuff that's going on in and away from Nvidia 2, there is a lot tied into this one name right now that

used to not be it. It was a single play on the buildout of this theme and then we had the hyperscalers but now it's moving all over the place and it's infected the markets and there is risk to that. There is risk that people are

to that. There is risk that people are saying 5 trillion is going to be six trillion really soon and I just can't find anybody who thinks that there's some danger to this for the broad market not just this name in particular.

>> Yeah, I have a hard time arguing with that point. Um you talk you you

that point. Um you talk you you mentioned two terms >> as much as I'd like to >> circular um and and financial engineering. And I do want to

engineering. And I do want to acknowledge that there is a fair amount of that going on. With that said, I think I I view it through the opposite lens. The the knock on Nvidia coming in

lens. The the knock on Nvidia coming in was that it was a hardware company that it would be subject to cyclical nature and pullbacks. And what they've done and

and pullbacks. And what they've done and and it was somewhat self- serving likely, but what they essentially said was, listen, we want to push into China because we want the world being building

on our technology, American technology and Nvidia's technology. And all they've done is essentially replicate that within the United States. They are now on the public and private side with this

Palunteer deal. They have um backed

Palunteer deal. They have um backed Circle and uh the Neocloud companies.

There is no way to continue to build up without being on the CUDA stack, whether it be the individual chip. They have

found a way to spread their tentacles, if you will, into all of the different facets of AI. And that is why I think that maybe the five or six trillion dollar number might actually be too low.

There seems to be no way to push forward into AI. And we were worried about what

into AI. And we were worried about what their role would be within a agentic and inference a AI. And now they've kind of leapfrogged themselves into a leadership position in that next wave. And so it it

is circular and I want to acknowledge the risk that you're that you're putting out there, but it essentially guarantees that they continue to be at the very center of this AI flywheel.