Nvidia

Nvidia is the AI chip leader. The company has a vast market share and continues to post the best financial results among the mega-caps. Revenue increased by 265% year-over-year while net income surged by 769% year-over-year in Q4 FY24.

The company’s sequential growth has been decelerating lately, but it’s still impressive. The corporation’s Q4 revenue was 22% higher than its Q3 revenue. Nvidia’s profit margin expansion helps to compensate for a slowdown. The stock also trades at a 38 forward P/E ratio, so it can fit into its valuation.

A key distinction among Nvidia compared to other AI stocks is that its financial growth has outpaced its stock gains. A 243% stock gain over the past year is lower than the company’s Q4 FY24 revenue and net income growth rates. The stock has also gained more than 1,900% over the past five years which demonstrates the strong momentum behind this stock. $NVIDIA(NVDA.US)$