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🚨 NVIDIA Just Proved AI Demand Is Real — But Exposed a $4T Trap 💥
$NVDA crushed Q3: $57B revenue, $1.30 EPS, stock +3%, $130B added overnight. But here’s the hidden story 👀
⚠️ Margin Collapse – Gross margins down 74.6% → 73.4% in a supercycle. Pricing power limited, competition looming.
💸Circular Money Machine – $15B cycling through Microsoft, Nvidia & Anthropic, inflating valuations. SoftBank exited NVDA, went all-in OpenAI.
⚡****Infrastructure Wall** – $500B chip orders through 2026, but US grid short** 130-140GW by 2030 → datacenter delays = lost revenue.
🔥 Payback Crisis – AI spend = 1.3% US GDP, yet 95% of AI companies generate $0 ROI. OpenAI burns $13B/year at $500B valuation.
✅ Takeaway: AI demand is real, but the business model is fragile. When circular financing unwinds & infrastructure bottlenecks hit, the $4T AI market could reset violently.
#NVDA #AI #TechStocks #AIChips