From NASDAQ: 2024-05-04 06:05:00

Nvidia (NASDAQ: NVDA) has seen a remarkable 1,800% gain in its stock value over the past five years, thanks to its dominant position in the AI chip market. Despite upcoming competition from Intel and AMD, Nvidia is expected to maintain its lead as the global AI chip market grows significantly from $15 billion in 2022 to $384 billion by 2032.

The company’s data center revenue surged by 217% to $47.5 billion in fiscal 2024, attributing its success to the popularity of its graphics cards among major cloud providers and start-ups. AMD, on the other hand, witnessed an 80% boost in sales of AI-focused data center chips, forecasting sales of up to $8 billion this year.

Analysts predict Nvidia’s earnings to grow at a rate of over 35% annually for the next five years. This growth trajectory is supported by its strong presence in the AI chip market, with projections suggesting its stock price could reach $2,266 per share after five years, indicating a potential 162% increase from current levels.

Investors looking to capitalize on the AI market growth should consider Nvidia stock, supported by the company’s consistent earnings growth projections and strong position in the industry. The Motley Fool’s Stock Advisor service highlights potential market-beating stocks for investors, so consider diversifying your portfolio with their expert recommendations.



Read more at NASDAQ: Where Will Nvidia Stock Be in 5 Years?