BUSINESS
Nvidia’s stock has climbed roughly 18% in October, bolstered by OpenAI's recent $6.6 billion funding round. Nvidia supplies the chips used to train foundational AI models like OpenAI’s GPT-4.
On Friday, Nvidia briefly surpassed Apple as the world’s most valuable company, with its stock reaching a record market value of $3.53 trillion, just ahead of Apple’s $3.52 trillion, according to LSEG data. This milestone follows a rally fueled by high demand for Nvidia's advanced AI chips. Nvidia had previously achieved this top spot in June before Microsoft and Apple reclaimed their positions, with the three companies remaining close in market value. Microsoft's valuation currently stands at $3.20 trillion.
Nvidia’s stock has climbed roughly 18% in October, bolstered by OpenAI's recent $6.6 billion funding round. Nvidia supplies the chips used to train foundational AI models like OpenAI’s GPT-4. “More companies are now embracing artificial intelligence in their everyday tasks, and demand remains strong for Nvidia chips,” said Russ Mould, investment director at AJ Bell. “It is certainly in a sweet spot, and so long as we avoid a big economic downturn in the United States, there is a feeling that companies will continue to invest heavily in AI capabilities, creating a healthy tailwind for Nvidia.”
This rally reached a peak last week as Taiwan Semiconductor Manufacturing Co. (TSMC) reported a strong quarterly profit due to high demand for AI chips. Nvidia’s upcoming third-quarter report in November will be closely watched; in August, Nvidia projected third-quarter revenue of $32.5 billion, with analyst expectations slightly higher at $32.90 billion, per LSEG.
Morgan Stanley analyst Joseph Moore remains optimistic about Nvidia's long-term potential, although he noted the recent surge "raises the bar for earnings somewhat." Moore, following a meeting with Nvidia CEO Jensen Huang, remarked on the strong demand for Nvidia’s next-gen Blackwell chips, which are fully booked for a year. The stock faced some pressure in August when Nvidia confirmed a delay in Blackwell chip production until the fourth quarter.
Nvidia, Apple, and Microsoft together represent a significant portion of the U.S. tech sector, making up about one-fifth of the S&P 500 index’s weight. Market interest in AI, alongside expectations for U.S. Federal Reserve rate cuts and a strong earnings season start, propelled the S&P 500 to a record high last week. Nvidia’s stock performance has attracted options traders, with its options consistently among the most traded, according to Trade Alert data. Nvidia's stock has surged nearly 190% this year, driven by the generative AI boom and impressive forecasts.
Rick Meckler, partner at Cherry Lane Investments, commented on the stock's appeal, saying, “The question is whether the revenue stream will last for a long time and will be driven by the emotion of investors rather than by any ability to prove or disprove the thesis that AI is overdone...I think Nvidia knows that near term, their numbers are likely to be quite remarkable.”
Reliance Industries and Nvidia have announced a partnership to develop large-scale AI infrastructure in India, aiming to boost the country’s artificial intelligence capabilities. The announcement was made during a fireside chat between Reliance Chairman Mukesh Ambani and Nvidia CEO Jensen Huang at the 2024 Nvidia AI Summit in Mumbai.
Diwali 2024: Exact date, shubh muhurat of Lakshmi Puja, Govardhan Puja and Bhai Dooj; know here
'There was no response from....': S Jaishankar criticises Congress over Mumbai 26/11 attacks
Hoax bomb threats to Indian flights continue, 50 flights disrupted today
'There will be cracks in team': Ex-India star issues stern warning following Pune Test defeat
'Suno Lawrence Bishnoi...': Man threatens gangster in viral video, backs Salman Khan, WATCH
Who is Gursimran Kaur? 19- year old Indian woman found dead in Canada's Walmart oven
UP: Taj Mahal engulfed in thick haze as pollution rises in Agra, pics surface online
Sonam Kapoor dazzles in rust lehenga with unique soil and clay body ornament at Diwali party
Diljit Dosanjh's ‘Dil-Luminati’ tour breaks concert records in India as it becomes…
This is what Ratan Tata expected in Noel Tata in order to succeed him as Tata Sons Chairman
‘True Hero’: Zomato delivery agent with no hands becomes inspires internet
UP: 10 hotels in Lucknow receive bomb threats via email, sender demands Rs 46 lakh ransom
'Aishwarya Rai in my arms': Old Vivek Oberoi video clip goes viral amid divorce rumours
Pakistan T20I, ODI squads for Australia, Zimbabwe tours announced; captain not yet revealed
THIS Indian state recorded highest number of stubble-burning cases, it’s not Punjab, Haryana
Mumbai engulfed in layer of smoke as AQI dips to 'poor' ahead of Diwali festival
Meet superstar who was only 15 when romantically paired with 55 year old star, the film was...
Mohammed Shami drops first reaction after BCCI leaves out star pacer from Team India's BGT squad
Ghaziabad to Kanpur in 5 hours? 380 km expressway to connect 9 UP districts, will be completed by...
Zomato's specially-abled delivery agent's unstoppable spirit melts hearts online, watch viral video
Salman Khan announces Da-bangg Tour in Dubai amid death threats, fans say 'Tiger Zinda Hai'
World’s most polluted city has AQI of 700, it’s not Delhi, Mumbai, Bengaluru
Will Vande Bharat sleeper train outclass Rajdhani Express? Here's all you need to know
Rama Ekadashi 2024: Know date, history, vrat rituals, shubh muhurat, and significance
Meet filmmaker allegedly slapped by Shah Rukh Khan, gave big flops with Akshay Kumar, Salman Khan
Why lifts have mirrors? Reason will surprise you
Delhi chokes amid rising air pollution, AQI crosses 400 at...
Gujarati is now third most-spoken Indian language in THIS country, not US, UK, Australia, it is...
NASA Alert: Giant 500-foot asteroid, as big as a skyscraper is approaching Earth tomorrow at...
Chinese woman calls Indian food ‘dirty’, changes her mind after..., watch viral video
5-20-30 rule to lose belly fat: Know benefits, risks and a step-by-step guide
ISRO chief reveals launch dates for upcoming missions: Gaganyaan, Chandrayaan-4 likely in…
J-K: Terrorist hideout busted in Poonch; two grenades, three Pakistani mines recovered
Apple iPhone 16 is now banned in THIS country due to…
'Can fit 20 Empire States inside': World's largest building worth Rs 415000 to come up in…
More than 22000 kilograms cheddar cheese worth Rs 3 crore stolen in major scam from…
Maharashtra: Stampede at Mumbai's Bandra Terminus leaves 9 injured
World’s richest man Elon Musk briefly worked illegally in US after quitting…: Report
Anupamaa actress Nidhi Shah says Rupali Ganguly is insecure: 'Mere saath toh bahut...'
Tata-Airbus Project: PM Modi, Spain PM Sanchez to inaugurate TATA aircraft complex in Gujarat today
Delhi-NCR Pollution: Delhi's air quality hits 'very poor' category, AQI drops to...
Israel versus Iran: Know the current situation in 10 points
4 Indians, including siblings, killed in accident as their Tesla crashes into divider in Canada
Here's why Do Patti actor Shaheer Sheikh is called 'Shah Rukh Khan of Indonesia'
Meet Rachel Gupta who became first Indian to win Miss Grand International, she is from...
Indian girl dances with US man on Bhojpuri song in front of India Gate, VIDEO goes viral
Why Ratan Tata didn’t give anything to brother Noel Tata in his will? Reason is….
Bigg Boss 18: Double elimination in house, Nyra Banerjee's BB journey ends? Here's what we know
Meet IAS officer, who got separated from son, left-high paying job, cracked UPSC with AIR...
ADRE grade 4 exam today, check admit card link, exam day guidelines here
Assam: Mobile internet services to be suspended in state today due to…
Wearing shoes, slippers is banned in this Indian village; know why
EAM Jaishankar slams Canada's targeting of envoy, says, 'we completely reject...'
DNA TV Show: Baba Bageshwar calls for Hindu unity on Social Media