Nvidia has indeed become an investor favorite. Prior to the release of its financial results, the company became the 3rd most valuable in the world after Apple and Microsoft.
Where will Nvidia’s rise stop? Previously known primarily for its gaming graphics cards, in just a few years the company has become an international champion in computing power. It is artificial intelligence in particular that has allowed the firm to really take off. In just one year, he increased his profits 8 times.
Today, it also competes with Google’s parent company Alphabet and Amazon in the stock market. Will we be talking about GAMAMN soon?
$1.72 trillion company
Looking in the rearview mirror, we can see the evolution of Nvidia shares in the stock market. The company quickly rose up the ranks. An Nvidia share was worth $40 in 2019, which is about $700 today in 2024. This is the first time that a semiconductor and hardware company has managed to enter tech giants like Apple, Microsoft or Google. Nvidia has become the 3rd most valuable company in the world.
However, this beautiful story may end very soon. Nvidia is scheduled to release its financial results this Wednesday, February 21, 2024, and the stock exchange is eagerly awaiting the details. At a time when Nvidia’s action experienced some turbulence, the brand let itself be caught by Amazon and Google earlier in the week. On the other hand, if financial results exceed Wall Street’s expectations, Nvidia could once again experience financial growth.
On the horizon, however, competition is gearing up to not leave the AI market entirely to Nvidia. We can think of Groq, a small startup that wants to offer a philosophy other than Nvidia’s all-GPU, but also and above all Microsoft. The latter has also been one of the champions of AI over the past year, and it now wants to rely on Nvidia graphics cards to power its data centers. Microsoft is working on dedicated AI chips to replace Nvidia’s expensive GPUs.
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