In the two years since ChatGPT’s launch, stock prices have soared to new highs, megacap size has ballooned, and AI chipmaker Nvidia has become the second-largest stock in the U.S. by market capitalization. But the biggest winner is actually a little-known cooling technology stock based in Ohio called Vertiv Holdings. Vertiv has benefited since its widely accessible chatbot debuted in late November 2022, as investors scoured the market for the next-best winners from building large language models and huge data centers. I have received The first to attract attention were what later became mega-cap technology companies. When the AI boom began, NVIDIA was the 13th largest company in the United States, the Jefferies sales desk said. The S&P 500 rose about 49%. But while mega-cap technology stocks have dominated investors’ attention since the dawn of mass-market AI, Jefferies says Vertiv is one of the biggest stock winners, up 861% over the past two years. He emphasized. In 2023 alone, the stock price soared 165%, more than tripling its size compared to early 2024. Vertiv makes cooling equipment and infrastructure for the power-hungry data centers that are fueling the AI boom. Demand is increasing as customers seek ways to manage all aspects of their data center needs. Last year’s VRT 1Y Mountain Vertiv Stock In an October interview with CNBC’s “The Exchange” after Vertiv’s latest earnings report, CEO Giordano Albertazzi defended the stock’s meteoric rise and explained why the future still looks bright. I emphasized. “We believe we are in a very strong position to truly benefit from the accelerated demand that AI is creating across the data center industry, and we are a leader in data center infrastructure,” he said. . “I’m very optimistic about the future.” Nvidia was the second-best performer, with its stock up 722% since ChatGPT’s launch. Jensen Huang’s company has become a poster child for AI in general, with its graphics processing units powering the technology’s large language models. Advanced Micro Devices and Broadcom have also benefited from this trend, rising 90% and 208%, respectively, since the introduction of ChatGPT. As of 2024, AMD is down about 4%, while Broadcom is up 50%. NVDA Mountain 2022-12-02 Nvidia stocks over the past two years As a group, the Magnificent Seven stocks (Nvidia and Microsoft , Apple , Tesla , Meta Platforms , Amazon , Alphabet ) soared 203%, leading to semiconductor gains Jeffries points out. 77% in the last two years. The company says its capital spending on artificial intelligence is 230% higher than the S&P 500 index. Besides Vertiv, Modine Manufacturing is another under-the-radar AI winner. Air-cooled inventory has increased nearly 550% over the past two years and more than doubled in 2024 alone. Jeffries also highlighted AI losers that are currently seen as being threatened by the emergence of AI, including some education technology platforms such as Chegg and call center companies. Intel’s stock price fell 19% due to poor performance.
Two years after ChatGPT’s debut, Nvidia isn’t AI’s biggest winner
By NvidiaDaily
