AP – Nvidia’s stock price has more than doubled this year after more than tripling in 2023 and it’s now the third most valuable company in the S&P 500. Nvidia’s stock rose again on Monday after it announced new technology and plans to advance artificial intelligence (AI) applications.
The company is also about to undergo a stock split that will give each of its investors nine additional shares for every one that they already own.
The chipmaker has seen soaring demand for its semiconductors. The company’s revenue more than tripled in the latest quarter from the same period a year earlier.
Nvidia, which has positioned itself as one of the most prominent players in AI, has been producing some eye-popping numbers. Here’s a look:
10 FOR 1
The company’s 10-for-1 stock split goes into effect at the close of trading on Friday and is open to all shareholders of record as of tomorrow. The move gives each investor nine additional shares for every share they already own.
Companies often conduct stock splits to make their shares more affordable for investors.
Nvidia’s stock closed on Friday at USD1,150, and it’s just one of nine companies in the S&P 500 with a share price over USD1,000.
USD26 BILLION
Revenue for Nvidia’s most recent fiscal quarter. That’s more than triple the USD7.2 billion it reported in the same period a year ago.
Wall Street expects Nvidia to bring in revenue of USD117 billion in fiscal 2025, which would be close to double its revenue in 2024 and more than four times its receipts the year before that.
USD132 BILLION
That’s the increase in Nvidia’s market value as of Monday. The gains came following announcements from Nvidia at the Computex 2024 exposition detailing advancements and plans for its AI technology.
USD2.829 TRILLION
Nvidia’s total market value as of the close of trading on Monday.
Earlier this year, it passed Amazon and Alphabet to become the third most valuable public company, behind Microsoft (USD3.073 trillion) and Apple (USD2.975 trillion). The company was valued at around USD418 billion two years ago.
53.4 PER CENT
Nvidia’s estimated net margin, or the percentage of revenue that gets turned in profit.
Looked at another way, about 53 cents of every USD1 in revenue Nvidia took in last year went to its bottom line. By comparison, Apple’s net margin was 26.3 per cent in its most recent quarter and Microsoft’s was 36.4 per cent. Both those companies have significantly higher revenue than Nvidia, however.
