Investors should consider buying Nvidia and ServiceNow stocks due to strong growth potential in AI.

From Nasdaq: 2024-09-10 09:45:00

The artificial intelligence (AI) market is projected to reach $826 billion by 2030, with significant investment in data center hardware and enterprise software. Nvidia (NASDAQ: NVDA) is a dominant player in AI, with strong revenue growth from data centers. ServiceNow (NYSE: NOW) is experiencing rapid adoption of its generative AI platform, positioning the company well for growth in various industries.

Nvidia’s data center revenue is up 122% year over year, driven by partnerships with major cloud service providers. The company’s networking business is also thriving, with expectations of becoming a multibillion-dollar product line. Nvidia’s holistic approach to providing data center components positions it as a leader in the AI industry.

ServiceNow continues to deliver strong revenue growth, signing major deals and seeing rapid adoption of its generative AI platform. With a substantial addressable market and a history of market-beating returns, ServiceNow is poised for further success in the AI market. The company estimates its total addressable market at $275 billion, providing ample room for growth.

Investors may want to consider ServiceNow and Nvidia in the AI sector, given their leadership positions and growth potential. While Nvidia has delivered exceptional returns in the past, ServiceNow’s momentum in generative AI and its market positioning make it an attractive investment opportunity. Both companies are well-positioned to benefit from the expanding AI market.



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