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another story that's really interesting
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Scott I I noticed Nvidia stock they were
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talking about here on Aspen it's been on
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a roller coaster this week Shares are
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headed back up after multiple days of
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decline which cost the company it's
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title is the world's most valuable
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company NVIDIA Shares are still up over
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160% uh since January what do you think
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about this um I think a lot of I think a
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lot of people thought this was coming
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you you talked about this a lot go ahead
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yeah but since it's rebounded 7% it's
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not it's ups and downs aren't that
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interesting what's more interesting is
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that when it loses
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133% over the course of 3
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days um it basically loses the value of
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MasterCard I mean if you look at the
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blast zone or Ground Zero of essentially
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two trillion do in incremental value
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creation over the last six or 12 months
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the knock on effects are so dramatic if
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this company this company could go down
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80% and all of a sudden the NASDAQ and
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the S&P wouldn't be keeping Pace with
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inflation one company is now sort of as
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goes I mean it in it used to be the
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Magnificent 7 now it's the Magnificent
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one it's it's the singular Samurai Nidia
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so nvidia's now become the tail that's
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wagging the dog of almost everything and
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I'm fascinated by this thing because
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people just can't imagine the kind of
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value creation here and what it means
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when it becomes so
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huge that in this volatile it is I mean
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the NASDAQ is effectively the tone for
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the American economy right now now is
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going to be directly and indirectly
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dictated by the volatility of Nvidia
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even for example 30,000 employees 3
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trillion plus market cap so you're
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talking about $100 million per person I
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was just I work my ass off got so lucky
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with L2 sold it for $160 million after
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executing almost what I felt like was
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perfectly having just an in incredibly
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lucky just finally I did something and I
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got every all the moons lined up 160
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million dollar 80 people so that's $2
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million per employee they've generated
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somewhere between 100 and 130 million
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per employee and I would bet of those
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30,000 10,000 woke
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up last week and said I'm worth between
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10 and 50 million doar right which what
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does that do to San Francisco real
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estate prices when all of a sudden what
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do you do when you're
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29 you know that we we talked about that
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housing is way up
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mhm a lot of the tech companies and
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especially all the an open AI everybody
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coming back etc etc but when you have
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10,000 people probably in their 20s 30s
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and 40s that all of a sudden have $10
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million in incremental wealth you got to
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think two-thirds of them are thinking
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we're either going to buy a nice home or
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a better home I mean we're either going
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to buy a first home or upgrade what does
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that do to housing stock I mean there's
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just and then what happens if this thing
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goes down 80% it could Nvidia could
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decide the the presidential election if
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the market is off 2% instead of up 14
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that is a huge talking point for for the
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Republicans this Nvidia has become as
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Nvidia goes so goes the market and the
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perception of the American economy so
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where is it a buy now Scott for people
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who are like you still can't to it this
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is literally it's it's a meme stock in a
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weird way in a weird this is I I tell
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you I track everything I get about 70 60
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meals a day from strangers and the
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number one question I get is regarding
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Young men either moms looking for advice
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or young men themselves the number two
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is is it too late to buy
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Nvidia people and what I tell them is
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look I don't know I can pin a scenario
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where it doubles I can see it getting
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cut by 50% if not 80% so this is what
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you do in my view you buy spy you buy an
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index fund because if you buy an index
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fund every dollar that goes you're
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buying 24 cents on the dollar goes to
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the Magnificent Seven so if those
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companies continue to kill it you
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participate but if the other 493 stocks
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have their day in the Sun and those
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stocks get cut in half you're still okay
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so you take some upside off the table
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but you save your mental health you know
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you're participating and the thing about
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these indexes that's so amazing is they
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are a screening mechanism for the best
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companies so so you know uh
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right so it's the best companies in the
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world you're investing in and they do
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the job of balancing and diversifying
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for you so anyway you want to invest in
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Nvidia thoughtfully you don't need to
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know whether it's going to go up or down
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buy an index fund just buy an index fund
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good idea
