A Nvidia is now the fourth most valuable public company in the world, behind only Microsoft (3,1 billion dollars), from Apple (2,9 billion dollars) and Saudi Aramco (2 billion dollars).
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Nvidia Is Now More Valuable Than Amazon And Googlehttps://t.co/jWXvxT8s8T pic.twitter.com/pQ2dUYlq7e
- Forbes (@Forbes) February 12, 2024
Nvidia is by far the most prominent producer of the semiconductor chip technology that powers the Generative AI. Investors were impressed not only by Nvidia's potential to capitalize on growing interest and corporate spending in AI, but also by its already explosive results.
Nvidia's earnings before interest, taxes, depreciation and amortization (EBITDA) grew more than 500% last quarter on a year-over-year basis, thanks to rampant growth in its artificial intelligence, much stronger than Amazon and Alphabet's robust gains of 20% or more growth during the comparable period.
Nvidia's gross revenue and profits are less impressive than those of its trillion-dollar companies—its $9,2 billion profit last quarter was much smaller than Nvidia's $22 billion-plus profits. Apple and Microsoft during the comparable period – but analysts expect Nvidia's financials to soon close the gap.
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Nvidia remains among the most popular stocks on Wall Street, even after its more than 50% rally this year, and is a top pick for analysts at Goldman Sachs and Bank of America, each of which has a price- $800 target for Nvidia – implying an additional 8% upside for the stock.
Nvidia will release profits for the fiscal quarter ended last month next Wednesday (14). Analysts project the company will report its third consecutive quarter of record sales and profits.
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