Nvidia is now the 3rd largest company in the world! Is it a Tech Titan or a Bubble? It’s now bigger than both Amazon and Google! Can it continue its growth? It is really the most astonishing stock market story in the last decade. Were they just in the right place at the right time? The company manufactures chips, an essential component of AI technology. Nvidia dominates the chip market at 75%, while AMD, its competition, also shows rapid growth.
It has already seen an incredible 50% growth in the first six weeks of 2024. Last year, it grew by 230%. It seems that AI incorporation into our everyday lives is not just a passing fad but an essential part of tech advancement in the modern world. The technology and quality of their chips seem unbeatable.
Chip-making seems to run in the family, as Nvidia co-founder Jensen Huang’s distant cousin, Lisa Su, CEO of competitor Advance Micro Systems (AMD), has also reached billionaire status after stock doubled over the last year. In fact, AI is responsible for most of the wealth gained by the world’s richest people this past year.
Their stock is worth more than the whole Chinese stock market combined. Nvidia is definitely a buy if it continues to grow. Where will it end? Can this extreme boom continue much longer? As long as the need for AI tech and AI-related services increases, so will Nvidia stock.
Tech stock is big right now, but always ensure your portfolio is suitably diversified to mitigate the risk of losses.
