Nvidia has had a strong start to the new year, maintaining rapid growth that has seen its stock increase in value by nearly 240 per cent in 2023.
The artificial intelligence breakthrough has boosted Nvidia’s market capitalization by an additional $128 billion after rising about 10 per cent this month, marking an unprecedented value increase in any company’s first nine trading days of the year.
This year, Nvidia easily outperforms the broader market and other shares of the so-called Magnificent Seven mega-capitalized technology companies. That makes it a bright spot as the S&P 500 index hovers near record highs amid questions about corporate profits and the timing of the Federal Reserve’s expected rate cut, as noted in Bloomberg’s analysis.
Furthermore, stock market analysts are “targeting” an average share price of about $650 for Nvidia over the next 12 months, indicating an increase of approximately 19 per cent for a company with a larger market capitalization of $1.3 trillion.
Continued Growth and Expansion in Nvidia’s Future
The company has announced three new graphics chips for desktop computers that will allow users to leverage the capabilities of artificial intelligence better. The stock also received a boost last week when it was confirmed that the company expects continued unabated growth through the 2025 calendar year.
Nvidia should report its fourth fiscal quarter 2023 earnings next month. Analysts forecast revenue to have risen about 230 per cent in the period following a roughly 206 per cent jump in the third quarter, according to data compiled by Bloomberg.
CNN, Fox, and Time are currently in content licensing talks with OpenAI. OpenAI is in discussions with these media companies to license their content, with the goal of providing access to news and analysis to develop new types of artificial intelligence products. Simultaneously, OpenAI faces accusations of copyright infringement related to content use.
The startup behind ChatGPT, a tool that allows users to create text, images, code, and other content with simple instructions, is seeking agreements with various news, video, and digital media producers to power the AI chatbot with more precise, relevant, and up-to-date information.
