All articles tagged with #ai chipmaker
Nvidia CEO Jensen Huang's net worth surged by $9.6 billion to reach an estimated $69.2 billion as the AI chipmaker's stock soared following stronger-than-expected quarterly results, with fourth-quarter revenues reaching $22.1 billion, a 265% increase from the prior year. The company's market capitalization climbed above $2 trillion, solidifying Huang's position as one of the world's wealthiest individuals.
Nvidia's market capitalization surpassed Amazon's for the first time in two decades, putting it on the verge of overtaking Alphabet as the third most valuable company on Wall Street. The dominant AI chipmaker's stock value reached $1.78 trillion, exceeding Amazon's $1.75 trillion and threatening Alphabet's $1.81 trillion. Nvidia has benefited from the demand for AI technology, with its stock rising 46% this year. Meanwhile, Alphabet's stock hit an all-time high before disappointing quarterly results, and Apple's stock has dropped 4% in 2024.
Qualcomm reported better-than-expected fiscal first-quarter results driven by a recovery in smartphone demand, with adjusted earnings per share of $2.75 on revenue of $9.92 billion. However, concerns arose as the company predicted flat chip revenue in China for the next quarter, leading to investor wariness and a slip in share prices despite the profit beat. Analysts noted potential market share headwinds and limited growth potential in the intermediate term.
Investment bank Goldman Sachs has added Nvidia, the artificial intelligence chipmaker, to its "conviction list" of top stock picks. Nvidia's stock rose 3.8% following the announcement. The company is considered the principal "shovel supplier" in the AI "gold rush" due to the high demand for its graphics processing units (GPUs) in data centers for running AI applications. Goldman Sachs analyst Toshiya Hari believes Nvidia will maintain its status as the industry standard for accelerated computing, with sustained revenue growth expected through 2024. Additionally, European Union antitrust regulators have not opened a formal investigation into Nvidia's chips used for AI, despite a recent raid by the French competition authority.
Nvidia, the AI chipmaker, reported record second-quarter revenues of $13.51 billion, an increase of 88% from the previous quarter and 101% from the previous year. Analysts are excited about Nvidia's performance, with one even stating that the company will be the "most important company to civilization" in the next decade. The strong demand for AI chips has propelled Nvidia's stock price and boosted the wealth of co-founder Jensen Huang. Analysts believe there are further opportunities for Nvidia in the AI space as specialized chips will be needed for various applications in the coming years.