Nvidia CEO Jensen Huang Says This Is the Next Trillion-Dollar AI Chip Stock. Is He Right?
Written by Adam Levy for The Motley Fool -> Huang said this company makes chips that are "essential" for the future of artificial intelligence (AI). Nvidia partnered with the chipmaker earlier this year to ensure compatibility with its NVLink platform. The chipmaker's accelera
Huang said this company makes chips that are "essential" for the future of artificial intelligence (AI).
Nvidia partnered with the chipmaker earlier this year to ensure compatibility with its NVLink platform.
The chipmaker's accelerating revenue growth should continue for years.
Nvidia (NASDAQ: NVDA) CEO Jensen Huang is one of the most well-respected names in the artificial intelligence (AI) industry. As the head of the largest AI semiconductor company , working closely with the world's leading cloud computing companies, he has unique insight into their evolving needs.
That's why investors pay close attention to what Huang has to say. On stage at Computex Week in Taipei, Huang presented with Marvell Technology (NASDAQ: MRVL) CEO Matt Murphy, describing his company's chips as essential. "That's why you're going to be the next trillion-dollar company," Huang said.
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Marvell stock has skyrocketed since those comments, and it sports a market cap of about $278 billion as of this writing. If Huang is right, though, the stock could nearly quadruple from here.
Marvell specializes in optical interconnect chips that transmit data at ultra-high speeds. As Huang said, those chips are essential for optimizing data centers full of expensive, high-powered GPUs. Ensuring data is routed to where it needs to be as quickly as possible can provide an enormous cost savings at the hyperscale level.
