Nvidia Soars: AI Chip Pioneer Advances with Record Revenues

The Nvidia stock appears unstoppable and is on the verge of a new all-time high. The world-leading manufacturer of AI chips announced that its new Blackwell graphics processing unit is sold out for the next 12 months. Meanwhile, the recently introduced Instinct MI325X AI chip from Advanced Micro Devices was received with muted enthusiasm by investors. Stacy Rasgon, Managing Director and Senior Analyst at Bernstein, discussed the intensifying race between AI chip manufacturers and major cloud providers with Julie Hyman and Josh Lipton. Rasgon emphasizes that the time advantage Nvidia has over AMD remains very large. "It's still Nvidia's game to lose," Rasgon stresses. He adds that demand continues to exist, and investments are expected to facilitate this. Despite the positive outlook, there is concern that the stock values have grown too rapidly, raising questions about sustainability. According to Rasgon's assessment, neither the supply chain nor feedback from customers indicated that demand would diminish anytime soon.