Wedbush analyst Dan Ives has made a bold comparison, likening Nvidia’s current market dominance to the early career of basketball superstar LeBron James. Ives, known for his bullish outlook on Nvidia, reiterated his positive stance last week, stating that the company’s growth trajectory is only beginning.
Speaking to Bloomberg, Ives declared, “If you look at Nvidia here, this is LeBron in high school in terms of where this story is ultimately going.” He emphasized Nvidia’s clear lead over its competitors, calling it “the only game in town.” This assessment comes despite concerns over the delayed release of Nvidia’s upcoming Blackwell chips. Ives remains confident, citing the company’s strong revenue guidance as a positive indicator.
According to Fortune, Ives highlighted the significant multiplier effect Nvidia has on the tech sector. He explained that every dollar spent on Nvidia’s chips has a ripple effect across the industry, multiplying by a factor of 8-10 times. This underscores the company’s pivotal role in driving technological advancements.
Looking ahead, Ives predicts a massive influx of capital expenditure in AI over the next three years, doubling his previous forecast from just six months ago. This projection further underscores the immense potential of the AI market, and Nvidia’s position at the forefront.
Although Nvidia’s stock experienced a weekly dip of 8%, most Wall Street analysts, including those at Bank of America Global Research, maintain a “buy” rating on Nvidia shares. This positive sentiment reflects the confidence in the company’s long-term prospects.
The comparison to LeBron James highlights Nvidia’s potential for continued growth and market domination. With substantial investments in AI anticipated, the company’s dominance in the tech industry is poised to solidify, despite short-term market fluctuations.
