Amazon and Alphabet projected to surpass Nvidia's market valuation by 2028

From Nasdaq: 2024-06-01 04:44:00

Nvidia’s market capitalization skyrocketed to $2.7 trillion due to soaring demand for AI systems. Amazon and Alphabet are worth $1.8 trillion and $2.2 trillion, respectively. Both companies could surpass Nvidia’s valuation within four years, reaching at least $2.8 trillion by mid-2028.

Amazon reported strong Q1 results, with revenue up 13% to $143 billion, and GAAP net income tripled to $0.98 per diluted share. The company’s presence in e-commerce, digital advertising, and cloud computing positions it well for continued growth. Wall Street expects Amazon to grow sales at a rate of 10.9% annually over the next five years.

Alphabet’s Q1 revenue rose 15% to $80.5 billion, with net income of $1.89 per diluted share. The company’s focus on digital advertising and cloud computing, markets anticipated to grow at 15% and 21% annually, is a key investment thesis. Wall Street predicts Alphabet will grow sales at 10.5% annually over the next five years.



Read more at Nasdaq: Prediction: 2 Artificial Intelligence (AI) Stocks That Will Be Worth More Than Nvidia by 2028