Two years after NVIDIA Corp. It made history with be The first chipmaker to reach a $ 1 trillion market capital, the most amazing step is within its consciousness: to be the first company to reach $ 4 trillion.
After the emergence of China's Deepseek sent stock shine Early this year and disturbed the concern that artificial intelligence infrastructure was placed SlowlyNVIDIA shares have returned to the record.
Its big clients remain full in front UseWhich a lot goes through its computer systems. 66% profit from April Low has pushed its market capital to $ 3.8 trillion, increasingly Microsoft Corp. for $ 3.70 trillion to be the most valuable company in the world. NVIDIA shares increased as 1.3 percent in the early business on Friday.
And a Expanding Basic customer base for competitors and recent AI competitors and competitors still, Bulls are offering chipmaker shares have a lot of chances of running.
“We believe that NVIDIA is in a unique position, and that it will continue its position in the next decade,” said Aziz Hamzaogullari, chief investment officer in Loomis, Sayles & Co. and the founder of the company's growth strategy team.
Hamzaogullari is not alone. This week, Loop's capital analyst Ananda Baruah raised the NVIDIA price target to $ 250 from $ 175, which would be compared to the market price of approximately $ 6 trillion. Baruah, who has a purchase rating on stock, expects an annual AI use from various types of customers to increase to about $ 2 trillion by 2028.
“While it may seem good that the NVIDIA grounds can continue to promote from current standards, we remind people that NVIDIA is still a monopoly for important technologies, and that it has a price (and margin) power,” MAUHAH wrote in a research letter on June 25.
Bullish's views behind NVIDIA and other AI Gear developers are a major change from early year when the emergence of high talks like Deepseek, grew cheaply in China, sparked fears that NVIDIA customers would cut spending. Instead, the largest American technology is Plowing Even more money in computer infrastructure.
Read more: NVIDIA is trying to emerge with a variety of relatives with S&P 500
Microsoft, Meta. Amazon.com Inc. and The alphabet The Inc. is estimated to put about $ 350 billion in capital expenditure in their next financial years, from $ 310 billion this year, depending on the analyst's estimate collected by Bloomberg. The companies take over 40% of NVIDIA revenue.
In fact, there are still many dangers that can end the NVIDIA conference. The company depends on it Taiwanese semiconductor factories Co for the manufacture of its chips, showing NVIDIA to the business policies of the American President, which can be voluntarily changed. Trump's 90 -day pause on the most difficult tariff ended on July 9.
At the same time, there is no guarantee of NVIDIA's biggest customers will not change their views on spending in the coming years. Many of them are developing their own chips to prevent elevation prices ordered by NVIDIA.
“That appreciation is based on the continuity of growth, and we already know that NVIDIA's biggest customers are trying to find ways to be better with their use, not only by NVIDIA, but also uploading to their own silicon,” said Dan Davidowitz, chief investment officer in pole's capital management. “You must have strong ideas to find pleasure and calculations, and we do not have a positive attitude toward those requirements.”
NVIDIA shares are 32 revenue prices estimated in the next 12 months, compared to 22 times for S&P 500.
The share of the stock does not have the problem with Loomis Sayles's Hamzaogullari, who is still a firm believer that AI will change society and believe that NVIDIA will remain an important winner as a productive benefit from expansion technology.
“That does not mean it will be Eddie Thabiti at all, that there will be no disruption in use, but this is a global change, and NVIDIA is still one of the biggest beneficiaries,” Hamzaogullari said. “The park still looks interesting due to the backdrop.”