Tech bull market continues to play out, says Wedbush's Dan Ives
Speakers
Dan Ives
— Managing Director, Wedbush Securities
Scott Wapner
— Host, CNBC
Summary
Dan Ives of Wedbush joins CNBC's Closing Bell ahead of Nvidia CEO Jensen Huang's CES keynote. Ives expects Huang to emphasize robotics and autonomous technology as the next chapter of AI, with Nvidia positioned as an end-to-end player. He remains bullish on Nvidia and sees the AI capex cycle driving an $8-$10 multiplier across the rest of tech. He also names Microsoft and Oracle as table-pounder opportunities and says the market is underestimating Nvidia demand.
- Dan Ives previews Jensen Huang's CES keynote.
- Ives expects robotics and autonomous technology to be the next AI chapter.
- He says Nvidia is more than chips and calls it a $250 stock.
- He argues Nvidia demand and Street numbers are underestimated.
- He sees an $8-$10 multiplier across the rest of tech from Nvidia chip spending.
- He names Microsoft and Oracle as table-pounder opportunities.
- He says Qualcomm and other tech names may not have robotics/autonomous priced in.
- The host raises concerns about high Nvidia expectations and a potential correction.
Ideas
Robotics is AI's next major chapter
Dan Ives says robotics and autonomous technology are the next chapter of the AI revolution, and he expects Jensen Huang's CES keynote to kick off this next layer. He frames the theme as early, with the consumer AI revolution still not started.
Nvidia's robotics upside not priced in
Dan Ives expects Jensen Huang's CES keynote to show Nvidia is an end-to-end player in robotics and autonomous technology, not just a chip company. He cites 12-to-1 demand/supply, says investors and Street numbers are underestimating Nvidia demand by 15%-20% over the next 12-18 months, and estimates the autonomous/robotics opportunity alone could add $40-$50 per share. He calls Nvidia a $250 stock and a table-pounder opportunity to own in six to nine months.
Nvidia spending boosts rest of tech
Dan Ives argues that every dollar spent on Nvidia chips generates an $8-$10 multiplier across the rest of tech, and that the next AI layer is not fully reflected in other tech names. This is a broad bullish call on the technology sector as the AI capex cycle continues.
Qualcomm benefits from unpriced robotics wave
Dan Ives says the robotics/autonomous AI wave is not factored into other tech names, naming Qualcomm among them. This implies Qualcomm could benefit as the market prices in that next AI layer.
Tesla leads into year of autonomy
Dan Ives points to Tesla in the context of the autonomous/robotics theme, saying this is the year of autonomous and robotics. He implies Tesla's autonomous story is a key catalyst for the sector.
Own Microsoft and Oracle in AI rally
Dan Ives calls Microsoft and Oracle table-pounder opportunities to own alongside Nvidia as part of the AI-driven tech rally. He expects the AI spending cycle and Nvidia ripple effect to support these mega-cap tech names.
