By: Parker Bazaz
What is NVIDIA?
Nvidia Corporation is an American semiconductor company based in Santa Clara, California. Nvidia is the leading global manufacturer of graphics processing units (GPUs), as they hold around 80% market share and have been at the front of GPU technology over the past 25 years. GPUs are used for a variety of uses that include gaming, professional applications, vehicles, and robotics. They continue to innovate by creating chips that have been used to develop AI technology. For example, OpenAI developed its AI computer using Nvidia GPUs. They also heavily invest in AI stocks. These stocks include Arm holdings, TuSimple holdings, and Recursion Pharmaceuticals. However, they are not without competition as two of their biggest competitors include Intel Corp.and Advanced Micro Devices Inc.
NVIDIA’s Stock
Nvidia's stock has skyrocketed since late 2022. Nvidia’s stock has gone up around 600% or around $675 since October 2022, and the stock has outpaced the S&P 500 by 550%. Nvidia’s on February 22, 2024 had the largest single day gain in stock value. It added around $270 Billion in value as it had its 4th quarter earnings call after the bell on February 21st. The earnings call revealed that the company beat its revenue projection by 7.55% and its earnings per share projection by 11.28% The earnings call prompted an insane amount of growth to occur the next day with the stock being up 16.4% once the market closed, this growth continued into after hours trading as the stock traded for almost $800. Nvidia's market cap is now almost 2 trillion dollars making it the third most valuable public company, behind Microsoft and Apple. The stock, now trading at an all time high, continues to shock the world with its growth.
Staggering Numbers
Finally, here are some of the staggering numbers surrounding Nvidia's growth.
$60.9 Billion - Nvidia’s total revenue for the 2023 fiscal year.
48.8% - Nvidia’s net margin or percentage of revenue that gets turned in profit.
89.25 - PE Ratio
189.75% - 52 week change of the stock price
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