Good.
From Barron's, August 17:
Nvidia stock was edging up early Monday. Shareholders might be reassured the chip maker is moderating its financial support for ChatGPT-developer OpenAI and its huge data-center investments.
The shares were up 0.7% in premarket trading. The stock has risen 11% in the past month.
Nvidia is now set to guarantee less than $120 billion of OpenAI’s plan to build a large-scale data-center campus in Ohio, down from $250 billion previously, The Wall Street reported late Friday, citing people familiar with the matter. The shift was made in response to investors’ concerns about Nvidia’s balance-sheet exposure, according to the Journal.
As the dominant supplier of artificial-intelligence chips, Nvidia has looked to ease the financing bottleneck in the AI infrastructure buildout by making investments across the ecosystem. Nvidia has made 66 private-company investments in 2025 and 2026, according to FactSet, with some investors questioning whether the board should instead return that capital to shareholders....
....MORE
Previously:
July 26 - Not Good - "Nvidia in Talks With OpenAI to Guarantee $250 Billion Financing for Data Center"
Not good at all....
*****
...The quarter-trillion guarantee would be risky no matter who NVDA was co-signing for but the fact it will be for Mayoshi Son and Sam Altman is nuts.
Our last mention of the Ohio property was February 25's Transmission: "Central Ohio Set for Major Grid Expansion as PJM Approves 765-kV Lines"
We didn't get any further information on the immense Ohio natural gas power plant in last night's State of the Union message but as a possible consolation prize for the hyper-concentrated mini-portfolio we see this from Construction Review, February 17...
Preceded by Feb 24's "Ahead of Tonight's State Of The Union: Hoping For Clarity On The Gigantic Gas-Fired Electrical Generation Plant
Everything other than the fact it is Japanese money funding the beast and a Japanese company (SB Energy sub. of SoftBank) overseeing the project and Japanese companies expressing interest in developing same, a mention of American corporate participation could be rocket fuel for a couple of our favorite names.
First up, Barron's last week, with the overview...***...9.2 gigwatts would make it the second largest electrical plant of it's type in the world.
Both Mitsubishi Electric and Hitachi manufacture utility-scale natural gas turbine generators but if there is room for an American company it would have to be GE Vernova.
Plus transformers and transmission lines and Quanta Services is the go-to.
July 27 - "AI Stocks Crash After NVIDIA Plans to Finance $250 Billion OpenAI Buildout Are Reported" (NVDA)
So "Not good" and then "Good.
