How Nvidia's AI Strategy Fueled Its $1 Trillion Valuation | WSJ

Thanks to AI, chip maker Nvidia broke into the exclusive club of companies, like Apple and Microsoft, that have a $1 trillion market cap. Nvidia’s chips power generative AI like OpenAI’s ChatGPT by being able to do lots of complex computations simultaneously. As Nvidia keeps powering tech giants like Google and Amazon, can the chip company keep up with demand?

WSJ’s Asa Fitch breaks down how the company got there — and why AI is fueling the company’s rapid growth.

0:00 Nvidia added $183.8 billion in market value in one day
0:43 How Nvidia got here
1:47 Nvidia and AI
4:18 Supply-chain issues

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#Nvidia #AI #WSJ

[Aarrenrhonda]

Strong BUY. Still early innings. NVIDIA is the dominant leader in AI and the preferred technology partner globally. Even w new competition on the horizon, NVIDIA is far ahead of the competition. 85% market share. 76% margin. Unrivaled demand for new Blackwell chip. Demand far exceeds production for Blackwell through to 2025 and beyond. No competitor has anything close to Blackwell. And forward P/E is about 33 (cheap for a high growth stock). Buy this stock and wait. You will be rewarded.

[lukehaswell]

Intel and AMD will definitely have their share of the market. TSMC is at max capacity and investing in other semiconductor companies will be an absolute power move, I keep increasing my shares manageably. Different chips are good at different things and Nvidia has been very specialised, which leaves other aspects of Al open.

[ramzic]

Everyone is running into the goldmine and Nvidia is at the door handing out shovels 😂

[ozandemiroz]

Nvidia never stop innovating. I also wonder why Micron has not seen a similar increase in value as they are also integral part of data center business.

[SuperPlayz]

Nvidia is such a great company but I don’t believe the valuation is there right now

[MARKXHWANG]

jensen bet his company on AI 10 years ago. he is well deserved for being the AI king, and invented the AI market

[spitfire]

This dude Jensen is truly the father of AI

[EmmettBrown]

Market capitalization of NVIDIA (NVDA)
Market cap: $1.013 Trillion
As of June 2023 NVIDIA has a market cap of $1.013 Trillion. This makes NVIDIA the world's 6th most valuable company

[CarsandBikes]

I think Cathie Woods made a mistake exiting from

[justtylermusic]

Under the radar is a bit stong. I'd say a "Company on the Cutting Edge."

[christophersingh]

And this video is about why NVIDIA no longer cares about the gaming community and consumers because it's all about stocks and market price and pleasing shareholders. It'll all about money now.

[JTMarlin]

Nvidia is worth 6X as much as Intel today. Think about where they were back in the 2000s.

[JorgeRicardo]

Their next goal should be Quantum computers

[salkryeful]

I'm getting a sense of deja vu. Wasn't there an article titled "Why Internet Is Cisco's Key to Its Half Trillion Valuation?"

[dablet]

i find it hard to believe AMD or Intel could not do it. either way, here's hoping they catch up so we, consumers, have options.

[LawrenceMarkFearon]

At this point I'm only investing in Nvidia to maximize profits. Nobody is more pure play Ai. Nobody collects Ai profits earlier. There's a time to diversify and a time to concentrate. This is the time to concentrate on the manifester of Ai, Nvidia.

[kimeli]

so in the end it is TSMC that is really the most crucial.

[extremeguy]

In what world is Nvidia "under the radar" or "not a household name"?! Have you EVER bought a PC or played a video game in your life?!

[shephusted]

other companies are going to lean forward and up the specs on their own gpu - adding more ram to handle the LLM models is a big factor so expect amd and intel to pressure nvidia going forward -this competition in the ai modeling space will benefit everyone and we should see major gains made in ai enterprise to filter down more to prosumer and consumer mkt segments going forward - ai is not a fad and everyone wants a piece of the action. #erdos number

[eqrmn]

Under the radar? Really? Who else do people think of when going for graphics