Nvidia's market cap surpasses $3 trillion, with 59% upside potential predicted by analysts.

From The Motley Fool: 2024-06-27 10:30:00

Nvidia’s market cap has reached $3 trillion, making it one of the world’s largest companies. With shares up 150% this year, one analyst predicts a 59% upside with a new price target of $200. The company’s revenue grew 262% year over year in Q1, with data centers bringing in $22.6 billion.

Nvidia is facing competition in data centers and GPUs from companies like Vertiv, Intel, and AMD. However, Nvidia remains innovative with new chips like Blackwell and Rubin. The company is also investing in robotics and enterprise software, showing strong growth potential. Despite its rapid rise, Nvidia’s valuation multiples are lower now than a year ago.

With Nvidia’s accelerating earnings and cash flow, the company remains a strong player in the AI race. Shares are reasonably valued, making Nvidia a compelling investment choice. Analysts remain positive on Nvidia’s future prospects, with potential for even greater market cap growth in the future.



Read more at The Motley Fool: A Once-in-a-Generation Investment Opportunity: Nvidia Is Now Worth Over $3 Trillion, and 1 Wall Street Analyst Thinks The Stock Can Soar Another 59%