Is new darling Nvidia the riskiest bet in stock market?

  • $NVIDIA Corp(NVDA)$ revenues soared 265% to $22.1bn, surpassing the expected $20.62 billion.

  • EPS was $5.15, remarkable 486% year-over-year, also exceeding the expected $4.64.

  • NVDA also provided very optimistic guidance. 

The CEO stated that demand will continue into 2025 and beyond.

“Generative AI have hit the tipping point.”

Should we be worried about Nvidia and Magnificent 7?

Deutsche Bank analysts noted that the combined market cap of "Magnificent 7" would rank as the world's second-largest stock exchange.

Microsoft and Apple alone have market caps comparable to the entire listed companies of France, Saudi Arabia, and the U.K.

Nvidia’s market cap may hit $2 trln after another way higher than expected earnings.

However, this concentration raises concerns among analysts about related risks in US stock market.

Wallstreet’s new darling is stronger than Tesla!

Chip stocks like $SUPER MICRO COMPUTER INC(SMCI)$ , $Advanced Micro Devices(AMD)$ , $ARM Holdings Ltd(ARM)$ rise in the premarket trading after Nvidia's earnings beats.

In addition, Nvidia’s earnings also stop the decline of the broader market, with most stocks turing to green as of writing.

Nvidia and its representation of AI demonstrate immense power. It can be a new darling or a savior.

 

Can Nvidia hit $800 this week?

Which chip stock will perform best after Nvidia's earnings?

What's your pick?

Leave your comments and also post to win tiger coins!

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