Nvidia Loses Market Cap Title to Microsoft as Shares Retreat

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The Spin

Narrative A

Nvidia’s soaring success has only just begun, so this pullback must be seen as a buying opportunity. The company has hundreds of billions of dollars in long-term opportunity as generative AI hardware developments are still in the early years of its deployment cycle, with strong and growing demand in this critical field.

Narrative B

While Nvidia may very well end up being an incredibly profitable business and an industry leader, its shares are currently ridiculously overvalued — and history tells us that they can indeed take a huge dive for multiple reasons. After all, the field of AI is far from being mature despite its current hype cycle.

Metaculus Prediction

There's a 60% chance that on June 28, 2024, will Nvidia's market capitalization be larger than Apple's, according to the Metaculus prediction community.


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