The portfolio manager pours cold water in the Nvidia stock recovers

The fund manager, Dan Niles, has thrown cold water NvidiaThe tentative recovery of the fall in the price of the actions of Monday, warning that the actions of the chips manufacturer may not have reached the lower part.

The actions in Nvidia fell 16.9% on Monday after the Chinese Startup Depseek said that its Free open source language model It was built in just two months that cost $ 6 million, a fraction of the cost assumed by other important actors.

These developments have caused concerns On the amount of money that large technological companies will invest in AI, reaching Nvidia’s actions, a key -key chips manufacturer.

“Nobody wonders if Nvidia is the king and indisputable fries. What are questioned is how much Capex needs for things such as previous training, post-training and then inference, ultimately”, niles, founder and manager of Niles Investment portfolio The founder of the Management, told CNBC on Tuesday.

After the fall in Monday’s action, which cut more than $ 595 billion of the company’s valuation, the Greater decrease in single -day market capitalization Registration: Nvidia shares increased almost 9% on Tuesday, but Niles has a gloomy forecast for the US chips manufacturer. UU. Looking towards the future.

“I think investors should be very careful to assume that this is the background,” Jegrath and Chery Kang of CNBC told CNBC the “Squawkbox Asia” of CNBC.

Nvidia could “recover absolutely” from the mass movement on Monday, he said, “but the estimates have to decrease from nvidia (income) that grow to 50% to grow from 20 to 30%, I think there is a much more downward action potentially from here. “

In Declaration to CNBC on MondayNvidia welcomed the emergence of the competition of China. A company spokesman called the Depseek model “an excellent advance of AI”, indicating that the US manufacturer. Uu. He sees an opportunity for his graphics processing units or GPU.

Microsoft BTS

Niles is also observing whether Deepseek’s emergency has the potential to fracture the relationship between the AI ​​sponsor MicrosoftOpenAI and NVIDIA.

Microsoft has been a driving force behind the Chatgpt creator, which caused the generative boom of AI. Microsoft has poured Almost $ 14 billion in the startup of AI to date.

Despite being “the biggest IA speaker with a lot, and the largest client in Nvidia,” Niles said that Microsoft’s CAP -Ex could grow “70 to 80% to basically flat in June.”

“And that is the way you need to think about it, because part of that is, what is the return of investment, what have you spent so far?” said.

“And the answer has been not for them, so we will have to see how that develops.”