Given that Nvidia (NVDA) has become THE most important stock on earth, I expect the media to be completely obsessed about it all day as the company reports Q1 earnings after the closing bell today. It is now one of the most over-owned stocks on earth, present company included, with very few detractors except for those based on valuation and price.

I have written about pruning the stock a number of times, most recently in March, as it looked like a peak was forming. And that’s exactly what we did in the strategy that owns the stock. I laughed when people emailed to call me names. When the stock fell from $975 to $760 in short order, folks could have replanted. If the stock didn’t pull back from the multiple warning signs, so what? There are plenty of other places to put your money.

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I fully expect the company to blow out earnings with very positive comments. I imagine the stock hits $1000 after hours today. No surprises. It’s after 10am tomorrow that I am most interested. I would be very surprised to see Nvidia close higher than where it opens, assuming I am right about it going up initially. And if the heavens above do the unthinkable and disappoint, look out below. There is an incredible amount of air under the stock.

And this is how distracting the stock has become, at least to me. My plan was to briefly mention it and then pivot to discuss what I see as more important, the poor behavior in the Dow Transports. I guess that and my comments about Magic Mike Wilson turning bullish will have to wait.

On Tuesday we bought RYAWX and more EIFAX. We sold SAMBX and RYDHX.

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