00:00 Speaker A
Kenny, I want to start with you. I want to come out of the block on all things in Nvidia here. Uh very important report. How will you know if the market views this report, uh as a perfect report? Because I would argue this market needs to see a perfect report.
00:13 Kenny
Well, it needs to see a perfect report if you want to see the stock go higher. Look, here’s what I say.
00:19 Kenny
Nvidia always, always, always surprises to the upside. Sometimes less than the expectation, but it always seems to surprise the upside and his view is always very positive. I don’t expect any of that’s going to change.
00:33 Kenny
But look, traders are very antsy. The stock is up as we said uh uh this month, it’s up this quarter, it’s up this year. So, I wouldn’t necessarily uh take it as a negative if they hear the news and you have some downward pressure on the stock as traders are just locking in profits. I don’t think you’re going to have long-term investors locking them in at all. It is the trade, it is the future. And so any pullback at Nvidia, I would view as a as an opportunity.
00:55 Kenny
Now, if it goes the other way and it’s a perfect report and it’s better than expected, then expect it to surge by, you know, six or so percent. I think that’s what the option market is pricing in now. a 6% move either way, if they disappoint, we’re going to go 12 points lower. If they surprise to the upside, it’s going to go 12 points higher. In either case, I’m not selling my Nvidia and on weakness, I’d be buying it.
01:14 Speaker A
Uh Kenny, uh look, let’s say it’s a perfect report. I’m in a good mood. I’m going to say that’s what Nvidia’s going to report. Tomorrow morning, do you uh buy Nvidia or do you just respect the recorder out of Nvidia and go long in AMD uh or some of these other derivative AI trades?
01:34 Kenny
So, listen, you could do both, right? Depending on what they say tonight and depending on how it acts in the aftermarket is really going to dictate, you know, what you do. I if it reacts negatively tonight for whatever reason to the report, I would tend to sit back and let it see how it trades once the op once the the the the market gets over right. It’s a it’s a full trading market, not in the pre-market or the aftermarket, but in during the day. I would wait and see how it trades to see how the news is digested.
02:02 Kenny
The other way you can do it, whether if it’s a good report is to play the derivative play. So it’s AMD, it might be Palantier, it might be even Intel, right? Uh that you want to know
02:12 Speaker A
But it’s never Intel, Kenny. It’s never Intel. Stop. Come on. Never Intel.
02:15 Kenny
It’s never well I don’t own Intel, I never owned Intel, so you’re right. For me it’ll never be Intel. But it could be AMD, right? You could play, you could play it other ways for sure. Uh the hyper scalars is another way to even play it, right? You want to talk Amazon, Apple, Meta. Uh any one of those would be a way to play too depending on what he says about the updates from the hyper scalars. We know already when they reported uh their earnings last month that they’re all spending tremendous amounts of money. Uh let’s see if he says has an update to that about what he suspects that they’re going to spend uh going forward.