Prediction: Nvidia Will Beat the Market. Here's Why.

Beating the market isn't a new feat for Nvidia (NASDAQ: NVDA). The artificial intelligence (AI) chip giant did this over the past two years, soaring more than 170% in 2024 and 238% in 2023 -- that's compared to double-digit gains for the S&P 500 in each of these years. Why such an explosive performance? Nvidia has risen to the top in AI, possibly the area of technology with the greatest growth potential ahead. Analysts expect today's $200 billion AI market to reach more than $1 trillion by the end of the decade, and Nvidia is well-positioned to benefit.Nvidia already has offered us proof of its ability to win as companies invest in AI. The chip designer's earnings have climbed in the triple digits during most of the recent quarters, reaching record levels. And this is why investors have piled into Nvidia, helping the stock to skyrocket. Of course, after such a performance, some investors now worry that Nvidia may take a pause or even decline in the new year.But I predict just the opposite. My prediction is Nvidia is likely to beat the market again -- and here's why.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool