It is not an exaggeration that there will be no industrial intelligence industry (AI) Nafidia (Nasdaq: nvda). Chipmaker devices were crucial for training and operating the first large linguistic model (LLM), Chatgpt. Investors have been rewarded in a rich in shares by more than 360 % during the previous three years (at the time of this report).
But the previous performance does not guarantee future results, and NVIDIA faces a large number of challenges and opportunities in the coming years. Let’s explore how these factors can affect the performance of their stock.
NVIDIA’s work of artificial intelligence is still thrived. The fourth -quarter revenues jumped by 78 % year on an annual basis to 39.3 billion dollars, as it began to launch the new AI chips that are based on the operation and training of artificial intelligence algorithms. However, while companies are still ready to spend large dollars on the latest and largest NVIDIA offers, it is not clear the time when this dynamic will continue.
In general, companies do not want to be exaggerated on one resource because it can make them vulnerable to deficiency or unfavorable prices. While NVIDIA remains the favorite source of artificial intelligence chips, companies are working hard to diversify their supply chains.
In February, Chatgpt Maker Openai funded a dedicated chip at home with Taiwan manufacturing semiconductors This can reach huge production in 2026. The chips are designed for specific tasks, allowing them to work with fewer unnecessary components (and potential costs) of comprehensive market solutions that are all suitable for NVIDIA. If more companies decide to carry this road, NVIDIA’s business may be exposed to growth and margin.
NVIDIA customers are not the only ones who need to get all their eggs out of one basket. The chips maker also worries on the chance of the gynecological AI. Data Center sales (which include advanced artificial intelligence chips) represents 88 % ($ 115.2 billion) of 2024 sales. The company will need to diversify over the coming years.
Company cars and Robots The sector can play a role in this transition. While these companies achieved only $ 1.7 billion in sales in 2024, this is 55 % from the previous year. Growth can be accelerated as more companies invest in technologies such as full-time self-driving vehicles-where analysts at MCKINSEY & Company believe that its value can range between $ 300 billion to $ 400 billion by 2035.
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