WEBVTT - Week Ahead: Nvidia, Crowdstrike, Marvell Technology 

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio News.

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<v Speaker 2>The Stock Movers Report, your roundup of companies making moves

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<v Speaker 2>in the stock market harnessing the power of Bloomberg Data.

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<v Speaker 1>Let's take a look now at some stocks making news

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<v Speaker 1>in the week ahead. I'm Nathan Hager, joined by Bloomberg

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<v Speaker 1>Intelligence Global Head of Tech Research Mandeep Singh, because we

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<v Speaker 1>have some major tech earnings coming up this week, including

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<v Speaker 1>the big one from Nvidia. Is Nvidia still the big

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<v Speaker 1>one man deep when it comes to the AI trade

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<v Speaker 1>and earnings?

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<v Speaker 3>Absolutely. I mean, if there's you know, one company that

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<v Speaker 3>really has carried through the mantle then it comes to

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<v Speaker 3>this AI build out, it is in Nvidia, and it

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<v Speaker 3>shows up in their numbers when you look at you know,

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<v Speaker 3>growth expectations of close to mid ninety percent and actually

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<v Speaker 3>their revenue seems to be accelerating. So it just goes

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<v Speaker 3>to show that, you know, this company with over a

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<v Speaker 3>three hundred and fifty billion dollar run rate now is

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<v Speaker 3>really executing very well and it is at the front

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<v Speaker 3>and center of this big AI infrastructure buildout.

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<v Speaker 1>It's incredible the run that Invidia has had literally for

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<v Speaker 1>years now, and just now this latest announcement of a

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<v Speaker 1>one hundred and five billion dollar data center investment in

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<v Speaker 1>Ohio for open Ai. It just speaks to so much

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<v Speaker 1>of the outperformance that we've seen for in Nvidia for

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<v Speaker 1>quite some time. And I guess the question still of

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<v Speaker 1>you know, whether circular investment is still an issue for

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<v Speaker 1>this company? Is it for you?

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<v Speaker 3>Well, So the thing that has changed with Nvidia now

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<v Speaker 3>versus a couple of years back is it's got a

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<v Speaker 3>really strong balance sheet with a ton of cash to invest.

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<v Speaker 3>And so what it is doing now is with these

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<v Speaker 3>big data center deals, it is helping you know, the

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<v Speaker 3>likes of open Ai and Tropic and other companies neoclouds

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<v Speaker 3>finance this build out where if they want to set

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<v Speaker 3>up a data center, Nvidia will be that backstop in

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<v Speaker 3>terms of filling in some of the investment requirements and

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<v Speaker 3>then helping these labs raise funding from private capital and

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<v Speaker 3>other sources. But in Vidia is really flexing its balance

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<v Speaker 3>sheet in terms of making sure there is a robust

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<v Speaker 3>ecosystem around it and all of them are able to

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<v Speaker 3>raise financing, because that's the hard thing now as these

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<v Speaker 3>numbers get bigger and bigger, not every company will be

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<v Speaker 3>able to raise financing. For one, hundred billion dollar data center.

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<v Speaker 3>So that's where in Radia comes in and kind of

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<v Speaker 3>helps and be that backstop. And Google is doing the

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<v Speaker 3>same thing, by the way, so all these major players

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<v Speaker 3>who are training the models are kind of using their

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<v Speaker 3>balance sheet in an effective way to prop up the

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<v Speaker 3>ecosystem around that.

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<v Speaker 1>Okay, so we're definitely looking forward to those earnings results

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<v Speaker 1>from Nvidia on Wednesday. We're also going to hear from CrowdStrike,

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<v Speaker 1>the cybersecurity firm. A lot of debate about this company's

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<v Speaker 1>valuation heading into the print. How do you see it?

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<v Speaker 3>I would agree that they have been a beneficiary of,

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<v Speaker 3>you know, the entropic Mythos release and all the kind

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<v Speaker 3>of anxiety around every company being at risk of a

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<v Speaker 3>cyber attack because Mythos exposed all the vulnerabilities. But to

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<v Speaker 3>my mind, CrowdStrike hasn't really shown that in their numbers.

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<v Speaker 3>They're still growing top line at mid twenty percent, which

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<v Speaker 3>is healthy, but nothing like what you know, we talked

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<v Speaker 3>about in Vidia growing at mid ninety percent, and you

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<v Speaker 3>know some of the other companies in the chip space

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<v Speaker 3>are growing triple digits. So mid twenty percent growth for

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<v Speaker 3>a company of CrowdStrike size doesn't seem that impressive, and

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<v Speaker 3>it's already trading at a very premium valuation multiple, So

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<v Speaker 3>from that perspective, the expectations are higher. But maybe they

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<v Speaker 3>come out and talk about, you know how all the

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<v Speaker 3>enterprises have started increasing their cybersecurity spend POSTMETHOS, and that

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<v Speaker 3>will be a good narrative. I think that may help

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<v Speaker 3>the stock sentiment.

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<v Speaker 1>And before we hear from crowdstriking Nvidia on Tuesday, we're

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<v Speaker 1>going to get earnings from Marvel Technologies off the back

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<v Speaker 1>of their announcement of a twelve point two billion dollar

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<v Speaker 1>share purchase deal with Google. What's that say about where

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<v Speaker 1>Marvel is in the chip raise?

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<v Speaker 3>I mean, all these chip companies I think have really

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<v Speaker 3>benefited in a big way from you know, the capex

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<v Speaker 3>increases that we keep hearing about, and Marvel is exposed

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<v Speaker 3>to all the custom silicon development and now they are

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<v Speaker 3>partnering with Google. Earlier they were predominantly working with Amazon.

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<v Speaker 3>So the fact that Google is working with Broadcom and

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<v Speaker 3>now they are working with Marvel to expand their TPU

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<v Speaker 3>kind of unit shipments suggests to me that, you know, Marvel,

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<v Speaker 3>we'll see accelerating top line as well. And they have

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<v Speaker 3>more customers now than they had previously, and Google is

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<v Speaker 3>obviously a big customer. I was a little surprised with

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<v Speaker 3>the stock warrant aspect of this deal, like why they

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<v Speaker 3>had to give that, But we've seen that kind of

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<v Speaker 3>you know deal with between AMD and Meta and MD

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<v Speaker 3>and open Ai, so it's not that unusual these days

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<v Speaker 3>to you know, give warrants if you have a big

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<v Speaker 3>customer lined.

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<v Speaker 2>Up the Stock Movers Report from Bloomberg Radio. Check back

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