Generative artificial intelligence (AI) is a huge trend. This is because on the New York Stock Exchange on the 20th (local time), Nvidia and Microsoft (MS), representative AI beneficiaries, both broke record highs.
MS is a big tech company that is most active in AI investment, and Nvidia supplies semiconductors optimized for AI and is evaluated as the biggest beneficiary of AI.
MS broke new records thanks to the news of recruiting former Open AI CEO Sam Altman, and Nvidia broke new records due to performance expectations.
◇ MS’s reported price exceeds $2.8 trillion in market capitalization
: First of all, Microsoft, the flagship American technology stock, broke its all-time high.
On the New York Stock Exchange on the 20th (local time), Microsoft recorded $377.44, up 2.05% from the previous trading day. As a result, the market capitalization exceeded 2.8 trillion dollars, and the market capitalization is on the verge of reaching 3 trillion dollars.
This is because Altman chose to go to MS after Open AI suddenly fired him on the 17th.
On this day, Microsoft CEO Satya Nadella announced in a post posted on
As Altman chose to go to MS, it is expected that a large number of Open AI employees will move to MS.
Recently, Microsoft’s stock price has rallied due to the good news of generative artificial intelligence (AI). This is because Microsoft is the most active in AI, investing $13 billion in Open AI and securing a 49% stake.
That’s why Microsoft acquired Altman, a superstar in the AI field.
Accordingly, experts agree that Microsoft’s stock price is likely to rally further in the future.
Wall Street experts believe that Microsoft’s market capitalization will eventually surpass Apple’s thanks to AI specialization. Microsoft’s stock price rise is expected to gain further momentum as it embraces Altman.
Of course, Altman’s transfer to MS has not been confirmed. It is reported that Altman still prioritizes returning as CEO of Open AI.
◇ Nvidia is also at an all-time high, soaring 245% this year.
: NVIDIA’s stock price also hit an all-time high.
NVIDIA daily stock price trend – captured by Yahoo FinanceOn this day, on the New York Stock Exchange, Nvidia recorded $504.09, up 2.25% from the previous trading day. This is the first time that Nvidia’s stock price exceeded $500 as of the closing price. As a result, Nvidia soared 245% this year.
The market capitalization exceeded $1.2 trillion, becoming more than Facebook’s parent company Meta or Tesla, which are among the so-called ‘Magnificent Seven’, the seven largest technology stocks in the U.S. stock market.
This is due to performance expectations. Nvidia will announce its earnings immediately after the market closes on the 21st. Wall Street expects Nvidia to announce earnings that exceed Wall Street’s expectations.
The market predicts that NVIDIA’s sales in the last quarter would have surged 170% compared to the previous year. If Nvidia’s performance meets these expectations, it is expected to rally further.
Source: Donga
Mark Jones is a world traveler and journalist for News Rebeat. With a curious mind and a love of adventure, Mark brings a unique perspective to the latest global events and provides in-depth and thought-provoking coverage of the world at large.
