There is no doubt that NVIDIA knew how to play its cards in the AI sector, and that its strategy has paid off well. Giants of the caliber of Oracle have already confirmed huge investments in GPUs from those in green to improve their services and infrastructure, and just a couple of months ago we saw how NVIDIA exceeded a trillion dollars in the stock market and became the sixth most powerful technology company in the world.
The company led by Jen-Hsun Huang is going to continue to bet heavily on AI, a sector that has become one of its main drivers of growth, and leading experts are convinced that NVIDIA will have a very positive evolution in the long term. . For example, Vijay Rakesh, an analyst at Mizuho, is convinced that the green giant will experience another 20% growth, and has stated that the maximum value of NVIDIA shares it gave was “conservative.”
So that you can better interpret what I have just said, you must bear in mind that the value of the green giant’s shares was $454.52 when he made that assessment, and that his estimate of growth would take them to the $530. The difference is substantial, but if we look at the historical value of NVIDIA shares in the last year, we will see that their growth has been spectacular, since in mid-2022 they did not reach $200.
Other big players, such as Intel and AMD, are also betting on AI both at the hardware and software level, but there is no doubt that NVIDIA maintains a dominant position in this market, and that this is not going to change either by medium or by long term. According to Rakesh, the demand for hardware to accelerate AI will experience significant growthand this will open up new business opportunities for hardware vendors, something from which the green giant will particularly benefit.
If this analyst’s forecasts are met, Jen-Hsun Huang’s company could reach revenues of 300,000 million dollars only within the AI sector by 2027, and would achieve a 75% market share in the sector of servers specialized in artificial intelligence. These forecasts are impressive, and the truth is that if they come to pass, they would place NVIDIA in a privileged position within the artificial intelligence sector.
