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The return on Nvidia shares is 4 times higher than similar indicators for BTC

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29.08.2024

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The company exceeded all expectations, reaching $30 billion in revenue, which is 15% more than in the previous quarter and 122% more than in the same period last year. Such results confirm the leadership of the organization in the technology sector, especially against the background of growing demand for graphics processors for artificial intelligence and data centers. The company's shares showed growth of 7% in August, significantly outperforming the NASDAQ index, which remained at zero, as well as large cryptocurrencies and mining companies, which experienced negative returns from -9% to -22%. This indicates that investors prefer Nvidia shares, in the face of uncertainty and volatility in the digital currency market and traditional securities markets. Since the beginning of the year, Nvidia shares have grown by 154%, which is almost 4 times higher than the yield of Bitcoin (BTC), which amounted to 39.6%. Such dominance against the background of other assets demonstrates the growing interest in companies engaged in the field of artificial intelligence and high technologies. It is interesting to note that, despite the similar annual volatility with bitcoin, during the period of publication of financial results, this indicator for Nvidia shares increased sharply to 86.2%. It significantly exceeded the fluctuations in the bitcoin exchange rate, which has stabilized against the background of current conditions. Nvidia's increased volatility highlights the market's reaction to news of impressive financial results. Nvidia's role as a leader in the technology market is linked to several factors. First, there is the ongoing boom in artificial intelligence and machine learning, which requires powerful GPUs. Secondly, the desire of large companies for digital transformation and expansion of data center capacities.