Despite the rise, Nvidia should rise even further, says analyst

Despite having reached one of the highest market values ​​in the world, Nvidia shares still have “great potential for appreciation”. According to analysts at Cantor Fitzgeraldthere are unprecedented computational advances, with a “promising future”.

“We have never seen such a rapid pace of technological innovation and subsequent reduction in the cost of computing as is currently occurring. Highlight for NVDA and its complete solution strategy”the economists said.

Artificial intelligence

However, analysts said the trend marks a strategic inflection point in the expansion of AI (artificial intelligence). With faster product cycles, continuous software innovation and architectural optimizations enable an increase in processing capabilities.

Consequently, the semiconductor giant’s already strong competitive position continues to solidify, leaving its competitors constantly trying to catch up.

“Given this and Nvidia’s strong technology momentum on a large scale, we expect its shares to continue to appreciate.”Cantor analysts said.

Over the past decade, Nvidia has improved AI performance by a million times, surpassing Moore’s Law and dramatically reducing computing costs, making technology adoption easier.

While the tool is still in its early stages, innovations like ChatGPT represent just the beginning of the technology’s growth. Analysts expect future advances in logic, multimodal functionality and cultural adaptations.

Nvidia CEO Jensen Huang estimates a further million-fold performance increase over the next decade. “A clear path forward as a move towards AI ubiquity”said the Cantor team.

“So we see the company expanding its opportunity from being a percentage of data center capex to a percentage of global IT spend and soon a percentage of GDP spend.”they added.

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With information from Investing Brasil.