‘Surprise’ Nvidia steps into the $1 trillion market cap club[딥다이브]｜Dong-A Ilbo

The U.S. government’s default deadline is approaching, but thisNvidia is the main character of the New York Stock Exchangewas On the 25th (local time), the Nasdaq, which focuses on technology stocks, rose 1.71%. The Dow index is -0.11%, and the S&P 500 index is +0.88%.

The day before, Nvidia announced that its first quarter revenue of this year was $7.19 billion. It far exceeded the Wall Street forecast ($6.52 billion). furthermore Second-quarter revenue expected to reach $11 billion, Nvidia’s all-time highI put out Analysts had previously forecast $7.2 billion. It really can’t be a ‘surprise’.

Nvidia has jumped on the artificial intelligence (AI) craze. Sales surged as companies trying to develop generative AI like ChatGPT scrambled to buy Nvidia chips. Jensen Huang, CEO of Nvidia, said that Nvidia has been expanding its production capacity over the past 15 years, and that The time when the big investment cycle of giant companies started due to ChatGPT and Explain that it fits. He said, “As generative AI becomes a major workload (amount of work to be processed) in most data centers around the world that generate information, Datacenter budgets shift very dramatically to accelerated computing“It will happen,” he said, “now you are witnessing it.”

Wall Street cheered Nvidia’s predictions. On this day, Nvidia stock soared 24.37%. With market cap jumping to $944 billion Entering the ‘Trillion Dollar Club’ approached. For reference, the places that have exceeded $ 1 trillion in market cap are Apple, Microsoft, Google, and Amazon.

American investment firm Susquehana said in an investment memo on the day. “It seems like a new gold rush is coming. And Nvidia is selling all pickaxes and shovels”, he evaluated. Stiefel also analyzed that “Nvidia is in the best position in terms of AI infrastructure wallet share (the share of a specific brand in total spending)” and that it is the company that will benefit the most from the rise of AI. Nvidia’s optimistic outlook pushed up the stock prices of other AI-related companies on this day. Shares of competitor AMD soared 11.16%, while Microsoft (3.85%) and Alphabet (2.13%) also jumped. US semiconductor maker Micron shares also surged 4.63% in the face of China’s export sanctions. In comparison, Intel, which is evaluated as lagging behind in the transition to AI, has lost 5.52% of its stock price. By. Deep Dive

*This article is an online version of the Deep Dive Newsletter published on the 26th. Subscribe to the Deep Dive newsletter, ‘economic news that you fall in love with while reading’.
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Reporter Han Ae-ran [email protected]