In the midst of the artificial intelligence boom, Nvidia, the chip maker, has claimed the top spot as the most valuable company in the world, surpassing its tech peers like Microsoft and Apple. The company’s stock rose over 3.5 percent to $135.58 per share, pushing its market value to over $3.4 trillion. This surge has been driven by the growing interest in AI technology.
Nvidia, founded in 1993, is known for designing and manufacturing AI hardware and software GPUs, which are used in various industries for tasks like machine learning and video editing. The company’s chips have gained popularity among AI researchers, leading to a significant increase in sales. Nvidia’s stock has been on a remarkable rally, rising over 3,477 percent in the last five years.
CEO and co-founder Jensen Huang has seen his net worth soar to $119 billion, making him one of the richest people in the world. The company’s success has been attributed to its AI accelerators that are in high demand among global companies and data centers.
Despite fierce competition in the tech industry, Nvidia’s profitability and strong outlook suggest that it will continue to perform well. The company’s recent revenue forecast of $28 billion for the quarter ending in July indicates sustained growth. Nvidia’s data center business has been a key driver of this growth, with revenue reaching a record $22.6 billion in the first quarter.
Last month, Nvidia announced a forward stock split, making it more accessible to retail investors. The move has attracted more interest in the company, with analysts predicting further growth in the AI computing sector. With the race to a $4 trillion market cap heating up, Nvidia is expected to maintain its position as a leader in the industry.
Overall, Nvidia’s success in the AI market highlights the transformative power of generative AI technology. As demand for AI solutions continues to grow, the company is well-positioned to capitalize on this trend and further solidify its status as a global leader in the tech industry.
Article Source
https://www.thenationalnews.com/future/technology/2024/06/19/nvidia-share-most-valuable-company/
