AI-related valuations are investing 'way, way into the future', says Susquehanna's Chris Rolland

Let’s get more on ARMS results bringing Chris Roland, he covers the stock for Susquehanna. Chris, great to have you with US1. Issue also was that estimates going into this quarter really ratcheted higher throughout the quarter? Were you one of these analysts who raised estimates going in? I actually thought numbers were going to be higher than the ones they reported. So probably, yeah. So what’s your take on the stock now? It’s a very, very expensive stock. It’s a super high quality company. But just the bar they have to hurdle every quarter to justify that valuation is just super stretched, right. Speaking of high bars, I mean to to sort of switch gears here, I mean NVIDIA will set the bar for the entire industry when it reports and that bar is super high in terms of what it needs to deliver to keep that stock price and justify that multiple. This point Chris, So what are you expecting here and what do you want to hear That stock is the biggest victim of sell side ratcheting estimates it we used to just dial in you know a beat 1 1/2 B2B but the streets move numbers up so high, there’s really no kind of sediment test anymore. So it’s, it’s, it’s, it’s becoming a much more difficult stock to call into earnings. Hey Chris, it’s Tim. But but can you put a multiple around it? Because again it seems like there’s been an ability to attach a very attractive multiple to a stock even though we know the run it’s had, we know the earnings have done and this question of is it going to be at the same pace. And with that much of A lead on competition, it’s hard to put a multiple on it right now because we really don’t know where revenue growth is going to stop or where it’s going to kind of reach cruising altitude. It’s a great line up into 2025 and we’re putting in growth for 25 as well. So when we reach cruising altitude, I’ll be able to give you a better valuation for NVIDIA. Well Speaking of cruising, I mean you’ve been, you’ve been very bullish the AI sort of narrative from the very beginning. I remember one of the early interviews, probably a year ago or so you called this primordial. I think you used that word. It’s sort of the notion that it’s like the beginning of the formation of life, right? It’s, it’s that Cambrian, Sorry. Yes, Cambrian, nice. So where are we? Are we at a, at A at a place where we are overhyped as Stanley Druckenmiller has said. I mean what’s your take on where we are right now? It it’s an amazing technology. We’re still coming up with applications, we’re still coming up with use cases, they’re serving those use cases. But clearly valuations are investing way, way into the future around AI right now. But but that’s OK. We’ll grow into that I think eventually you think, OK, it’s Karen. So let me ask you, you know we heard Druckenmiller talk about you know down the road it makes sense the valuation right now doesn’t it would seem to be very hard to know when to get in and out. So is your strategy just sort of stay the course and put up with potential volatility. AI for me right now has open-ended upside and I seek that out and so and and it it might break, but until then I’m, I’m, I’m playing the upside. What’s your take on what’s going on with Intel and whether it’s worth a shot. It’s a very, very challenged company and they’re trying to spend them what their themselves out of a hole and that is a very difficult strategy. They need some foundry customers, they need them today, they don’t have them today and so they’re going to slog this very expensive path. So what’s your rating on Intel at this point where we are in neutral on Intel and we are sitting here waiting for a Catalyst?