Will Nvidia Be a $10 Trillion Stock by 2029?

From the beginning of 2019 to the end of 2020, Nvidia (NASDAQ: NVDA) more than tripled its market capitalization. Three years later, the value of the company tripled again. And in just the past 12 months, Nvidia stock is on the verge of tripling its market cap once again. Already one of the largest companies in the world with a $3.2 trillion market cap, is it possible Nvidia extends its streak to surpass $10 trillion over the next five years?Nvidia ended 2019 with a market cap of $144 billion. At the time, nearly half of its revenue stemmed from chips designed for the video game market, while the data center segment accounted for about 30%. But as of the most recent quarter, 87% of the top line comes from the data center and AI segment. This is undoubtedly the category that will most influence the future of the business. Part of the reason AI chips now dominate the company's top line is the sheer growth of the industry. In 2024, Gartner expects demand for AI chips to rise 33%. Over the next five years, average annual growth is expected to top 20%. Right now, Nvidia has a stranglehold on the market with an estimated 88% share of GPU spending. Data from Jon Peddie Research suggests Nvidia's market share has only continued to grow over the last 12 months. Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool