Nvidia (NVDA) Mega Earnings & Stock Split

Cause

Tech giants (Microsoft, Meta, Google) engaged in an AI arms race, buying every available H100 GPU at immense margins, causing Nvidia's revenue to triple year-over-year.

Process

On May 22, 2024, Nvidia reported $26 billion in revenue, beating estimates by a wide margin, and announced a 10-for-1 stock split and increased dividend.

Result

The stock surged over 9% the next day, quickly becoming the world's most valuable company shortly after.

🚀 Time Traveler's Playbook (How to Exploit This)

• 🎯 Target Acquisition: Out-of-the-money NVDA call options expiring in June 2024, and heavily leveraged long stock positions.
• 🛠️ Core Operation: Enter positions during the minor market dips in April 2024. Accumulate $1,000 and $1,100 strike calls for late May/June. Hold firmly through the earnings print on May 22 after the closing bell.
• 💰 Profit & Extraction: Sell options into the euphoric massive gap up on May 23 and May 24. Retain long-term stock positions as the post-split momentum continues to drive retail inflows.