Dan Ives Says Chip Demand in Asia Is Running 13 to 14 Times Supply
Dan Ives, senior managing director at investment bank Yorkville Ives & Co, said on CNBC that his research in Asia shows current chip demand is running at 13 to 14 times available supply. He added that Nvidia is the only chip driving the AI revolution. The segment also highlighted a more cautious view from Michael Burry, the investor known as the real-life inspiration for The Big Short. Burry is holding Nvidia put options through September 2027 and has warned that the AI bubble could burst earlier than expected. At the same time, DBS Group told Bloomberg that Nvidia is trading at 17 times forward earnings, far below the 100 times level Cisco reached before the dot-com bubble burst. The report also examined the potential knock-on effects if Nvidia were to face a crisis comparable to Lehman Brothers. Nvidia has already reached preliminary agreements with six financial institutions on roughly $500 billion in customer financing, and any customer defaults could hit both Nvidia and the lenders providing the funding.
