This video shows how Nvidia's AI could transform the experience of talking to video game characters
Business InsiderJUL 2023
Nvidia Briefly Becomes World's 2nd-Most Valued Firm
Image copyright: Justin Sullivan/Staff/Getty Images News via Getty Images
The Spin
Narrative A
Nvidia's meteoric rise exemplifies the volatility in predicting new tech markets. While uncertainties remain over future chip demands and competitive pressures from giants like Microsoft and Amazon, Nvidia's strong developer tools enhance its position. Even though Wall Street predicts a revenue growth slowdown, Nvidia's key role in AI remains unmatched.
Narrative B
At such high valuations, a fall in Nvidia's share price is both inevitable and imminent. At the very least, it will not be able to sustain such a rockstar performance for too long. As Nvidia is currently trading at almost 90 times its earnings, investors will serve themselves well by applying caution and keeping in mind that markets are cyclical.