Share This Article

Facebook LinkedIn
Twitter Reddit
Print Email
Pinterest Gmail
Yahoo
Money Morning
×
  • Invest
    • Best Stocks to Buy
    • Stock Forecasts
    • Stocks to Sell Now
    • Stock Market Predictions
    • Technology Stocks
    • Best REITs to Buy Now
    • IPO Stocks
    • Penny Stocks
    • Dividend Stocks
    • Cryptocurrencies
    • Cannabis Investing
    • Angel Investing
  • Trade
    • How to Trade Options
    • Best Trades to Make Now
    • Options Trading Strategies
    • Weekly Trade Recommendations
  • Retire
    • Income Investing Guide
    • Retirement Articles
  • More
    • Money Morning LIVE
    • Special Investing Reports
    • Our ELetters
    • Our Premium Services
    • Videos
    • Meet Our Experts
    • Profit Academy
Login My Member Benefits Archives Research Your Team About Us FAQ
  • Invest
    • Best Stocks to Buy
    • Stock Forecasts
    • Stocks to Sell Now
    • Stock Market Predictions
    • Technology Stocks
    • Best REITs to Buy Now
    • IPO Stocks
    • Penny Stocks
    • Dividend Stocks
    • Cryptocurrencies
    • Cannabis Investing
    • Angel Investing
    ×
  • Trade
    • How to Trade Options
    • Best Trades to Make Now
    • Options Trading Strategies
    • Weekly Trade Recommendations
    ×
  • Retire
    • Income Investing Guide
    • Retirement Articles
    ×
  • More
    • Money Morning LIVE
    • Special Investing Reports
    • Our ELetters
    • Our Premium Services
    • Videos
    • Meet Our Experts
    • Profit Academy
    ×
  • Subscribe
Enter stock ticker or keyword
×
5 Ways to Beat the Fed (and Crush Inflation)

Email this Article

Send with mail | ahoo instead.
Required Needs to be a valid email
Required Needs to be a valid email
Nvidia Stock Is a Buy Now as Bigger Gains Are Coming
https://moneymorning.com/?p=1178655
Required Please enter the correct value.
Twitter
Stocks: AMD, INTC, NVDA

Nvidia Stock Is a Buy Now as Bigger Gains Are Coming

By Alex Kagin, Director of Technology Investing Research, Money Morning • @alexkagin • April 15, 2021

Start the conversation

Comment on This Story Click here to cancel reply.

Or to contact Money Morning Customer Service, click here.

Your email address will not be published. Required fields are marked *

Some HTML is OK

"Investor days" are generally dull affairs. Companies offer slick presentations telling us what we already know from their filings.

But Nvidia's was the complete opposite. Nvidia stock just surged 10% to all-time highs. And even bigger gains could be on the way.

Here's why Nvidia Corp. (NASDAQ: NVDA) shares are surging higher and why this tech stock just earned a spot in your portfolio...

Why Nvidia Stock Is Up

The reactions around Nvidia's investor day were incredibly positive as it laid out not only the future for Nvidia, but several entirely new products.

As the maker of chips powering technologies like artificial intelligence, 5G, self-driving cars, and quantum computing, everyone was paying attention.

With that attention, it made a huge announcement. In addition to its line of well-known graphics cards and mobile processors, it would start to compete head to head with Intel Corp. (NASDAQ: INTC) and Advanced Micro Devices Inc. (NASDAQ: AMD) in the CPU market.

While it is not going after the desktop and laptop space, which Apple has already started to encroach on with its recently announced M1 chip, it is going after the highly sought-after data center market.

Nvidia believes it can deliver 10x the performance of today's fastest servers that are handling complex AI and high-performance computing workloads.

This may be a niche focus within a $25 billion market, but the integration with its GPU and DPU products could give it an edge. Intel and AMD don't offer the complementary products.

We could end up seeing these chips be very popular for big tech companies such as Alphabet Inc. (NASDAQ: GOOGL) or Facebook Inc. (NASDAQ: FB). Research firms building the world's fastest supercomputers will look to advance artificial intelligence technology too.

Last year, Nvidia earned a record $6.7 billion in data center revenue, and this move could help to boost these numbers even more. Growth in this division was up 125% from a year ago. While the chips won't be set to release until 2023, we could see expansion to other markets in the future, a move which could add even more value to the stock.

That wasn't all Nvidia revealed...

Why Nvidia Stock Is a Buy Now

For the most part Nvidia is known as a hardware company, but it actually has a software business. That will work on AI Enterprise, a suite of AI and data analytics software for enterprise customers, an opportunity that could be worth billions for the company. We don't often think about Nvidia as a software company, but a great example is its software built around autonomous driving that allows for features such as sensor fusion and perception.

Sorry; this signup opportunity has ended.

During the company's investor day, it also reported that revenue for Q1 2022 was tracking above its previously announced outlook, which likely means strength across all of its business lines.

This is likely due to continued growth in gaming, crypto mining, and automotive, which has bounced back sharply and continues to grow as more technology goes into every vehicle. Nvidia also announced a new professional graphics card that could fit these applications.

Even though the automotive business was down in 2020 compared to the previous year, it now has over $8 billion in its pipeline through fiscal year 2027.

While the Nasdaq has continued to make new highs, Nvidia had been trading close to flat for roughly six months. Now that we have had a major announcement on new product lines, higher future growth projections, and a semiconductor shortage that could last through the end of the year, Nvidia stock could continue to run higher.

And while Nvidia will be a key player in the 5G boom, even bigger opportunities are out there...

$1.4 Trillion 5G Aftershock

5G is creating a $1.4 trillion aftershock market.

And 20 small companies could produce 10X gains by the end of the year.

Watch now...

Follow Money Morning on Facebook and Twitter.

Join the conversation. Click here to jump to comments…

Login
guest
guest
0 Comments
Inline Feedbacks
View all comments
LIVE
Visit Money Morning Live


Latest News

March 29, 2023 • By Chris Johnson

Commercial Real Estate is Feeling the Aftershocks of the Financial Crisis

March 29, 2023 • By Kenny Glick

Here's How You Can Find a New Trade If You Just Missed Your Entry

March 29, 2023 • By Garrett Baldwin

It's Not You... It's the Market
Trending Stories
ABOUT MONEY MORNING

Money Morning gives you access to a team of market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.

QUICK LINKS
About Us COVID-19 Announcements How Money Morning Works FAQs Contact Us Search Article Archive Forgot Username/Password Archives Profit Academy Research Your Team Videos Text Messaging Terms of Use
FREE NEWSLETTERS
Total Wealth Research Power Profit Trades Profit Takeover This Is VWAP Penny Hawk Trading Today Midday Momentum Pump Up the Close
PREMIUM SERVICES
Money Map Press Home Money Map Report Fast Fortune Club Weekly Cash Clock Night Trader Microcurrency Trader Hyperdrive Portfolio Rocket Wealth Initiative Extreme Profit Hunters Profit Revolution Warlock's World Quantum Data Profits Live Trading Alliance Trade The Close Inside Money Trader Expiration Trader Flashpoint Trader Darknet Hyper Momentum Trader Alpha Accelerators Weekly Profit Cycles Brutus Alerts

Ā© 2023 Money Morning All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning.

Address: 1125 N Charles St. | Baltimore, MD, 21201 | USA | Phone: 888.384.8339 | Disclaimer | Sitemap | Privacy Policy | Whitelist Us | Do Not Sell or Share My Personal Information

wpDiscuz