2023-05-30 22:03:02
The technology maker Nvidia has just broken a new record: thanks to a rise of more than 5% in its sharesthe graphics card giant surpassed the billion dollars (trillions in English) market capitalizationthus becoming the first company in the sector to reach this achievement.
In this way, it becomes part of the small group of companies that have achieved a “billion” capitalization, like Microsoft, Amazon or Apple.
Nvidia’s shares have accumulated a rise of 190% so far this year, including a climb of over 36% since the presentation of its quarterly results.
How have you achieved this improvement from the company? Thanks to the boost that investments in Artificial Intelligence have given to the sector.
Although in recent years the products of companies such as AMD or Nvidia were used in the field of computing, both for video games and professional workstations, cryptocurrency mining and later The rise of artificial intelligence has led to a revaluation of graphics cards as an essential asset for the construction of facilities dedicated to the development of AI.
Specifically, Nvidia registered a 26.3% increase in net profit between February and April, up to 2,043 million dollars (1,906 million euros), while its sales totaled 7,192 million dollars (6,709 million euros), a 13 .2% less than a year before.
Facing its second fiscal quarter, the company surprised the market by announcing that it expects to reach revenues of 11,000 million dollars (10,261 million euros), with an upward or downward margin of 2%, which represents 50% more. than expected by the consensus of analysts.
In this sense, this Monday it was learned that Nvidia reached an agreement to collaborate with the group WPP in the ad development using artificial intelligencewhile the Japanese conglomerate SoftBank reported Tuesday that it will use Nvidia components to build data centers capable of hosting generative AI wireless apps.
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