Nvidia is nipping at the heels of Apple to become the world's second-most-valuable company, as investors cannot get enough of the semiconductor maker whose chips power popular artificial intelligence tools such as ChatGPT.
The relentless rise in shares of Nvidia, which controls 80 per cent of the high-end AI chip market, has been instrumental in pushing Wall Street to record levels this year while giving the company a more than 5 per cent weightage on the benchmark S&P 500 index. "It is also finding strong speculative support as a favorite among long option buyers who have seen almost a straight upward climb throughout 2024."
"Nvidia is in fact the cheapest of the"AI narrative" stocks out there," said David Wagner, portfolio manager at Aptus Capital Advisors.