Raymond James Analyst Sees Nvidia Shares at $515

5.34% ON TENS. 5.72% ON THE 30'S. THE STORY THAT SPACEX MIGHT BE LOOKING TO RAISE TWO FUND CHIPS FROM NVIDIA, PART OF THE MIX, PART OF THE BOND MARKET SELLOFF. YOU HEARD IT FROM MARK CABANA MOMENTS AGO. LISA: ULTIMATELY, WHO WOULD YOU RATHER LEND TO, A PROJECT TO GET TO THE MOON? JONATHAN: CLOSING IN ON A DOLLARS MARKET CAP IS NVIDIA. SIMON WITH HISTORY HIGH PRICE TARGET OF $515. SIMON JOINS US FOR MORE. WELCOME TO THE PROGRAM. WHAT IS THE LINE GIVEN HOW MUCH OTHER COPIES ARE RACING TO BUY THESE CHIPS? ARE THEY STILL IN POLE POSITION? SIMON: NVIDIA IS IN A VERY STRONG POSITION IN THE INDUSTRY. I THINK THERE IS TOO MUCH BINARY THINKING IN THE INVESTMENT COMMUNITY THAT EVERYTHING IS GOING ONE WAY OR ANOTHER. THE FACT IS THERE WILL BE OPEN MODELS AND FRONTIER MODELS. THERE WILL BE HYPERSCALE AND NEO-CLOUD. THE POINT IS THERE IS AN INDUSTRIAL REVOLUTION UNDERWAY. NVIDIA IS A KEY ANCHOR TO MAKE THAT HAPPEN. LISA: HOW DO YOU ACCOUNT FOR RISING BORROWING COSTS? MULTIPLES COMING DOWN AS A LOT OF THESE INFRASTRUCTURE COMPANIES AND CHIP COMPANIES HAVE TO PAY MORE AND FRANKLY THEIR CLIENTS HAVE TO PAY MORE IN ORDER TO AFFORD EVEN BEGINNING TO BUY THEIR CHIPS? SIMON: LOOK, THE BIGGEST FACTOR HAS BEEN EVIDENT FOR SOME TIME. IT IS THE CONSTRAINTS ON MEMORY SUPPLY. THOSE ARE THE CHIPS FROM MEMORY COMPANIES, SO THE CONSTRAINTS ARE NOT NEW. THEY HAVE BEEN LONG-LASTING, BUT THE DEMAND CONTINUES TO GROW MUCH FASTER THAN THE SUPPLY. THAT IS A KEY ANCHOR OR ELEMENT TO BUILDING OUT THESE LARGE SYSTEMS. MORE AND MORE MEMORY IS NEEDED. THAT HAS BEEN THE ROOT OF MUCH OF INFLATION BUT NOT THE ONLY THING. IN THE PREAMBLE, WE TALKED ABOUT POWER. POWER IS TIGHT. BUT THE SUPPLY IS ONLY GETTING TIGHTER. I THINK ALL OF THIS IS EVIDENCE WE ARE ON THE RISING SIDE OF THIS BOOM. LISA: DOES IT BOTHER YOU THAT COMPANIES THAT ARE GOING TO BE PAYING FOR THOSE CHIPS ARE NOT NECESSARILY DOING AS WELL? THIS BIFURCATION IN THE MARKET, THAT THE LEADERSHIP HAS COME FROM THE SEMICONDUCTORS, THE HYPERSCALERS, BUT NOT THE REST OF THE COMPANIES THAT ULTIMATELY WILL HAVE TO PAY THE BILL. SIMON: THE ECOSYSTEM HAS TO BE HEALTHY FOR EVERYONE TO WIN. THERE IS NO DENYING THAT. BUT THESE ARE SOMEWHAT NORMAL GROWING PAINS AS A NEW MARKET IS ESTABLISHED. WE HAVE HAD A LOT OF ANALYSIS DISCUSSION AROUND THIS CONCEPT OF TOKEN ECONOMICS. WHEN DO THE COMPANIES MAKE MONEY? I THINK THE FACT IS THAT ANY OF US WHO HAVE BEEN USING ARTIFICIAL INTELLIGENCE PROFESSIONALLY IN OUR WORK ENVIRONMENTS ARE SEEING MASSIVE PRODUCTIVITY GAINS. I THINK IT IS A MATTER OF MATURING DEVELOPMENT OVER TIME FED EVENTS, FINANCING ISSUES, BUT WHEN YOU LOOK AT THE INDUSTRIAL REVOLUTION IN LARGE PART, IT WILL BE SOCIETY CHANGING AND BENEFICIAL. I THINK ULTIMATELY THE ECONOMIC