Dan Niles: AI is ‘100%' in a bubble but don't expect it to pop yet

• NVIDIA reported Q2 revenue of $96.22B (up 106% Y/Y) and Q3 guidance of $108B +/- 2%, both beating estimates, largely driven by data centers.
• Dan Niles views the current AI build-out as '100% a bubble,' drawing parallels to the dot-com era, but anticipates it won't burst for at least another year.
• He notes risks such as public sentiment against data centers (due to electricity costs and pollution) potentially restraining expansion, and customers double-ordering chips due to shortages, which could distort actual demand.

NVIDIA reported strong Q2 earnings and bullish Q3 guidance, driven by robust data center demand. Analyst Dan Niles believes the AI build-out is '100% a bubble' but doesn't expect it to pop for at least another year, despite potential risks from public pushback on data centers and customer over-ordering.