If You’d Invested $10 Million in Nvidia Stock 10 Years Ago, Here’s the Shocking Amount You’d Have Today | The Motley Fool

Some of the world’s best investors run concentrated portfolios. That is, they put huge amounts of money into a small number of stocks. This way, most of their money is invested in their top few ideas rather than their 10th-best idea.

While few people have $10 million to invest, it’s fascinating to see how a massive bet on a single winning stock can transform a person’s life. Diversification is important, but the illustration below demonstrates just how powerful it can be to stick with your best investment ideas.

Nvidia stock would have transformed $10 million into an outrageous amount

Nvidia (NVDA 1.06%) has been one of the best-performing stocks of the last decade. That’s due mainly to its position as a leading artificial intelligence (AI) stock. With AI spending rapidly on the rise, Nvidia’s business model has directly benefited from the sale of its leading graphics processing units (GPUs): critical components required for training and deploying complex AI models.

Image source: Nvidia.

Over the last 10 years, Nvidia stock has risen by roughly 24,000%. A $10 million investment, therefore, would now be worth around $2.4 billion. Even a smaller investment of $1,000 would now be valued at more than $240,000.

This…