A DEEP DIVE BEYOND NVIDIA (COOKED) NUMBERS
Currently, Nvidia is the company with the highest market capitalization in the world. Sorry, I won’t call it “the most valuable” because price and value are two different things, and it would be an intellectual insult to refer to it as such.
There are pros and cons to becoming such a big name. On one side, it can attract a lot of support, but on the other side, it can also attract a lot of scrutiny. When I started bringing the spotlight on Nvidia more than one year ago (full archive), only myself and a bunch of “Twitter Randos” (as they called us at that time: Wall Street analyst defends Nvidia from ‘Twitter randos’ spreading bearish conspiracy theory) dared to raise questions on Nvidia numbers and mind-blowing management projections for the future. One year later, the “Twitter Randos” are not alone anymore, and so many social media accounts have come forward raising more than legitimate questions about Nvidia’s business and numbers, highlighting all the incongruences and dark sides no one cared about so much before. As a consequence, as a form of respect, I am not going to bring up anything that is already available on social media and claim any credit for that since those who did the work faster than I deserve it. What I am going to do in this article is step up the analysis of Nvidia financials one notch, but I promise I will do my best to keep it simple to understand. Please bear in mind several of the tables I am going to share are a comparison between the latest and the previous 10-Q where the red lines and text in red represent the amendments the company made in the new quarter.
I already brought this up before, but since I did not see anyone still highlighting this matter, I will do it again. This is how Nvidia describes its revenues attached to Singapore:
