Nvidia (NVDA) has seen a substantial increase in its stock price, rising 736% over the past two years due to its pivotal role in the artificial intelligence (AI) market. The company’s recent fiscal Q3 results, released on November 20, 2024, showed record revenue of $35.1 billion, reflecting a 94% year-over-year increase, largely driven by a surge in demand for its AI chips.
- Nvidia shares increased 736% in two years.
- Record revenue of $35.1 billion reported.
- Blackwell processors show significant performance improvements.
- Aggressive product roadmap supports market dominance.
- AI chip market projected to reach $500 billion.
- Attractive valuation with potential for growth.
Nvidia’s recent performance highlights its dominant position in the AI chip market, largely attributed to its innovative product offerings. The company’s data center revenue surged 112% to $30.8 billion, surpassing initial projections of $32.5 billion. This growth is fueled by the increasing demand for Nvidia’s next-generation Blackwell processors, which have shown a significant performance improvement over previous models.
Key statistics from Nvidia’s fiscal Q3 include:
- Record revenue of $35.1 billion.
- 112% increase in data center revenue.
- Projected GPU sales for 2025 raised by 10% to 30 million units.
Looking ahead, Nvidia plans to release chips based on the new Rubin architecture in 2026, which will utilize a more advanced 3-nanometer process. This advancement is expected to enhance computing power while reducing power consumption, further solidifying Nvidia’s competitive edge in the AI chip market. Analysts anticipate continued robust growth for Nvidia, with earnings estimates rising for fiscal years 2025 and 2026.
In summary, Nvidia’s strong financial performance and strategic advancements in AI technology position the company for sustained growth. Investors may find opportunities in Nvidia’s stock as it continues to capitalize on the booming demand for AI chips.
