Nvidia Inc. NVDA continues to consolidate its dominance in the artificial intelligence semiconductor market, with CNBC’s Jim Cramer stressing that no company can successfully challenge the tech giant’s technological dominance.
What Happened: “Mad Money” host Kramer emphasized Nvidia’s unparalleled market position by saying: It’s cheaper than Nvidia. But you can’t do that. And Nvidia’s so-called enemies aren’t really enemies at all. ”
Nvidia’s third-quarter earnings report reinforced Cramer’s bullish stance, with the company’s revenue up an impressive 94% year-over-year to $35.1 billion. Data center revenue alone reached $30.8 billion, highlighting the company’s important role in AI infrastructure.
The company’s stock has soared more than 181% since the beginning of the year, dramatically outperforming other “Magnificent Seven” tech stocks such as Apple Inc. (25.44%) and Microsoft Inc. (12.92%).
Cramer highlighted the compelling investment thesis behind Nvidia, citing CEO Jensen Huang’s claim that for every $1 invested in Nvidia chips, customers will earn $5 in return. “That means they have no choice but to buy Nvidia chips,” Cramer said.
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Why it matters: Wedbush analyst Dan Ives amplified this sentiment, noting the extraordinary multiplier effect: “Every dollar spent on GPU chips has an $8 to $10 impact on the entire technology sector.” predicted that the Nasdaq could soar to 25,000.
Recent collaboration between Nvidia and Alphabet Inc google google Google Quantum AI and its efforts in the field of robotics with companies such as Tesla Inc. TSLA Demonstrates a company’s commitment to technological innovation.
The company expects fourth-quarter sales of $37.5 billion, and major customers such as Oracle are planning large-scale AI computing clusters.
A recent Benzinga poll reveals investor confidence, with 48% of respondents believing NVIDIA will continue to dominate ‘Magnificent Seven’ stocks in 2025.
Morgan Stanley’s Joseph Moore highlighted new growth drivers such as AI PCs, self-driving cars, and per-vehicle software license revenue.
Despite overwhelming optimism, analysts like Mizuho’s Jordan Klein warn of possible short-term volatility, citing thermal issues reported with Blackwell’s new chip system. I am doing it.
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