Is Nvidia the largest AI stock?


Artificial intelligence (AI) has been perhaps the hottest investment theme on the planet in the past year. Companies involved in this high-growth region have seen stock prices triple and increase profits on three major benchmarks. S&P 500, Dow Jones Industrial Average,and Nasdaq.

Investors have piled up AI stocks as technology could streamline processes and develop new products and services that change the game. Today’s $200 billion AI market is projected to reach more than $1 trillion by the end of the decade, providing significant growth opportunities for the companies involved and investors who will take part in these growth stories early. Masu.

And the particular growth story that has attracted a lot of attention is nvidia (NASDAQ: NVDA)inventory has risen 1,900% over the past five years. The company is offering services to the video game market to dominate the AI ​​chip market, primarily due to its contribution to the video game market, with revenues exploding, with double or three digits after the quarter I climbed up. But is Nvidia really the biggest AI stock? Let’s look into it.

The shadow of a human bust is shown in a coding written about it.
Image source: Getty Images.

So, first, let’s talk a little about AI in general. By leveraging the power of technology Big language model (LLMS) helps businesses, researchers, and even you and me in our daily lives on a variety of tasks. Some of these uses are more important than others and certainly can change the game. For example, AI streamlines corporate processes, identify risks to businesses, and encourages the development of new life-saving drugs and medical devices.

AI: Thanks to AI, which designs tools for the development of LLMS and AI platforms, many types of companies can generate revenue growth. Cloud providers have access to these tools, companies that include AI, including products and services to sell to others, and companies that apply to their businesses to gain efficiency and reach new results. . It’s a lot of potential AI winners.

Now let’s consider Nvidia’s position in the AI ​​market. The company is the dominant player of AI chips thanks to the quality of its graphics processing units (GPUs). These chips are the fastest to power critical tasks such as model training and guessing, and inference is a particularly important feature as they involve reasons why models go on to answer complex questions. Here is the key to using many powerful GPUs. Therefore, this represents the growth area of ​​Nvidia.

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