CNA – Nvidia Corp’s market capitalisation climbed higher in August thanks to its strong profit forecasts, which defied the broader downtrend in mega-cap technology stocks during the past month as an uptick in United States (US) bond yields rattled the sector.
Nvidia’s shares surged last month, boosted by its quarterly revenue forecast, which exceeded analyst expectations as the artificial intelligence boom fuels demand for its chips. Also, an announcement of a USD25 billion share buyback lifted its shares.
In stark contrast, other technology behemoths saw a sombre August. The market capitalisation of Apple and Microsoft Corp’s shares declined 4.4 per cent and 2.4 per cent while Meta Platforms Inc’s shares fell 7.1 per cent. Last month, Apple said its sales slump would continue into the fiscal fourth quarter, hit by slowing demand for its flagship product, the iPhone.
