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Snacks / Monday, August 21, 2023

If AI is a gold rush… some think Nvidia’s selling shovels. The chip titan’s stock 3X’d this year (hello, trillion-dollar club) as orders flooded in for its supercomputing chips. Elon Musk said Tesla would take as many as Nvidia could churn out. Saudi Arabia is also hungry for the $40K H100 chip, which Nvidia described as the first “designed for generative AI.” In its most recent report, Nvidia’s sales were down 13% from last year as demand for its gaming chips sagged. But it gave an upbeat forecast, and analysts expect strong growth when it reports Wednesday. 

Retail’s mixed bag… Consumers have been leaning toward spending on experiences, but thrifty shoppers are still seeing fit to add new wardrobe fits. Retail sales rose in July, boosted by clothing outlets. Last week, discount icons TJX (TJ Maxx, Marshalls) and Ross crushed expectations as consumers treasure-hunted for $10 sundresses and discount Levi’s. This week, Urban Outfitters and Abercrombie & Fitch are expected to report trendy revenue gains on the year, but Gap, Kohl’s, and Macy’s are forecast to show sagging YoY sales.

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