Prediction that Nvidia will surpass Apple in value due to strong revenue growth and market presence

From NASDAQ: 2024-09-24 07:15:00

Apple (NASDAQ: AAPL) is facing slower revenue growth due to its already massive revenue base, with just a 5% increase in the third quarter of fiscal 2024. Market research firm IDC predicts a slow 2.3% annual growth rate in the smartphone market through 2028, impacting Apple’s growth potential.

In contrast, Nvidia (NASDAQ: NVDA) reported a 122% revenue growth in the second quarter of fiscal 2025, reaching $30 billion. With a significant presence in the AI and cloud gaming markets, Nvidia is poised for accelerated growth. The company is expected to outperform Apple’s growth over the next decade, potentially overtaking its market cap.

Analysts project Nvidia’s earnings to increase at a compound annual growth rate (CAGR) of 52% over the next five years, far exceeding Apple’s expected growth rate. Nvidia’s dominance in key markets like AI chips and enterprise software positions it for sustained growth. The company’s diversified revenue streams set it apart from Apple in terms of future growth potential.

Investors looking for high-growth opportunities may find Nvidia more appealing than Apple in the long term. The company’s strong performance in growing markets like AI and cloud gaming could drive significant returns. Analysts believe Nvidia has the potential to outperform Apple and become a more valuable company over the next decade.



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