Is Nvidia Still a Millionaire-Maker Stock?
A million dollars is enough to change most people's lives. For example, putting that money into relatively low-risk assets like 30-year Treasury bonds would earn you more than the U.S.'s median annual income without reducing the principal. But while investing a million dollars is easy, making it is significantly harder.
To earn multibagger returns in the stock market, you typically have to bet on innovative companies with strong economic moats and massive addressable markets. Nvidia (NASDAQ: NVDA) has historically fit this bill with its industry-leading artificial intelligence (AI) chips. That said, past returns don't guarantee future success. Let's dig deeper to see if this megacap technology leader is still a long-term winner.
Many analysts were optimistic about Nvidia's first-quarter results, which saw its sales jump by 69% year over year to $44.1 billion while net income increased by 31% to $22.1 billion. Big tech companies continue to pour billions into Nvidia's hardware to run and train their generative AI workloads. And Nvidia's CEO, Jensen Huang, continues to strike an optimistic tone, claiming that entire countries are beginning to realize that AI is an "essential infrastructure" alongside electricity, water, and the internet.
Source Fool.com
