That may be one driver as to why Nvidia doesn’t have that much oomph near term, even though the fundamental story, the secular story, is terrific. \u2014 Michael Parekh, Founder, AI: Reset to Zero Substack<\/p>\n
NVDA\u2019s stock<\/a> fell over 1% in midday trade on Friday. Retail sentiment on Stocktwits around the Jensen Huang-led company trended in \u2018extremely bullish\u2019 territory over the past day, accompanied by \u2018extremely high\u2019 levels of chatter.<\/p>\n Nvidia posted one of the strongest earnings reports in the history of the semiconductor industry earlier this week, with Wall Street\u00a0pouring in<\/a> with price hikes. The company reported revenue of $81.6 billion, up 85% year-over-year, and GAAP gross margins of 74.9%. It also announced an $80 billion buyback authorization and raised dividend to $0.25 from $0.01. Yet, the stock barely moved.<\/p>\n NVDA Stock Has The Apollo 13 Problem<\/p>\n \u201cThis is Nvidia\u2019s 18th quarter of beating,\u201d Parekh said. \u201cTheir story is understood. The demand is great, the supply is great, and so the stock volatility on a day-by-day, quarter-to-quarter basis is going to be like guessing waves in the ocean.\u201d<\/p>\n According to him, the muted stock reaction is like what happened during the Apollo program. Nobody watched the Apollo 13 landing because everyone had already tuned out after Apollo 11. Nvidia is in the same position, not because the results are worse, but because the market has already priced the narrative. There is no new information in a beat that everyone expected.<\/p>\n For Parekh, the more actionable point is the IPO calendar. SpaceX, OpenAI, and Anthropic are three of the most anticipated listings in over a decade, arriving back-to-back across June, September, and October. On Stocktwits, retail sentiment around the SPCX ticker<\/a> trended in ‘extremely bullish’ territory over the past day. Sentiment was also trending in ‘extremely bullish’ territory around Anthropic<\/a>, while OpenAI<\/a> saw sentiment in the ‘bullish’ zone.<\/p>\n \u201cGrowing at 70, 80, 90% and at a 30 or under multiple \u2014 you don\u2019t have to read Warren Buffett\u2019s book to understand what the value proposition is.\u201d\u00a0 \u2014 Michael Parekh, Founder, AI: Reset to Zero Substack<\/p>\n Parekh was clear that the IPO overhang is a near-term phenomenon, not a fundamental reassessment. At 26x to 27x earnings for a company growing between 85% to 95%, the valuation is \u201creasonable.\u201d He pointed to the the Vera Rubin chip ramp, slated to roll out in in Q2 and Q3 2026 and priced higher and more capable than Blackwell, for upside in the next four quarters.\u00a0<\/p>\n Read also:\u00a0Arthur Hayes\u2019 \u2018Holy Trinity\u2019 Outperforms Bitcoin \u2013 HYPE\u2019s Price Hits All-Time High, While ZEC, NEAR Surge To 6-Month Peaks This Week<\/a><\/p>\n For updates and corrections, email newsroom[at]stocktwits[dot]com<\/p>\n![\"Screenshot](\"https:\/\/www.europesays.com\/ai\/wp-content\/uploads\/2026\/05\/Screenshot_2026_05_22_114558_png_716b9fb1ab.webp\")
NVDA retail sentiment and message volume on May 22 as of 11:45 a.m. ET | Source: Stocktwits<\/p>\n
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