TECH - Nvidia Could Be Worth Nearly $50 Trillion In A Decade Says Early Tesla Amazon Investor: Nearly 2X That Of US Or 3X Of China's Current GDP | Benzinga
A prominent tech investor predicted that NVIDIA Corp. (NASDAQ:NVDA) could achieve a market capitalization of nearly $50 trillion within the next decade.
What Happened: James Anderson, an early investor in companies like Tesla Inc (NASDAQ:TSLA) and Amazon.com Inc (NASDAQ:AMZN), expressed his bullish outlook on Nvidia’s future potential, reported the Financial Times on Sunday. He suggested that the chipmaker’s market cap could potentially surpass the combined value of the current S&P 500.
Anderson’s optimism stems from Nvidia’s role in the burgeoning demand for AI chips, which are crucial for training and running advanced generative AI models. This demand has propelled Nvidia’s shares to soar by 168% since the beginning of the year, pushing its market value above $3 trillion.
"The potential scale of Nvidia in the most optimistic outcome is both way higher than I've ever seen before and could lead to a market cap of double-digit trillions. This isn't a prediction but a possibility if artificial intelligence works for customers and Nvidia's lead is intact," Anderson said.
For context, Anderson’s prediction of Nvidia hitting $50 trillion market capitalization would be nearly twice as much as the U.S.’s current gross domestic product (GDP), which stands at $27.36 trillion, or nearly thrice as much as China’s GDP of $17.79 trillion, according to data from the World Bank.
Despite this remarkable growth, Anderson views Nvidia’s ...