I still track this relationship, and much to my surprise, the pattern has continued over the past four months. In December, I pointed out the Nvidia of today was very much tracking the path of Cisco from 1998 through 2002. The psychological aspect of the relationship between Cisco and Nvidia is so interesting. Human psychology plays an enormous part in stocks and how much investors are willing to pay for those future earnings potential. There's a story here, and that story tells us that when optimism is high, expectations are massive. That would have made Cisco worth $1.65 trillion in today's dollar, or $1 trillion more than Nvidia today. By some estimates, a dollar in 2000 is around $1.65 today. 13, 2000, in an LA Times story to be t he first $1 trillion company. Cisco's prospects were so significant that it was deemed on Feb. But at one point, Cisco was a blistering growth stock. In reality, Nvidia today and its growth rates can't compare to Cisco. Cisco had this guy John Chambers, a fantastic visionary in his own right. After all, what does stoggy old Cisco ( CSCO) have to do with a high-growth company like Nvidia ( NASDAQ: NVDA), which makes all these wonderful GPUs helping to expand the data center and improve gaming? The visionary CEO Jensen Huang leads Nvidia today. The story was mocked by many and called crazy. For example, in December, I asked what if Nvidia Of Today Is The Cisco Of 2000? They are worth considering and investigating with an open mind. Patterns appear all over the marketplace, and while they don't always play out exactly as expected, they can give clues as to what might happen next.
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