Nvidia shares rose 25 % on strong performance and AI-driven growth

After the publication of the report of the first quarter of the financial year 2024, Nvidia's share increased by 25 %. Achieved record revenue on the back of rising demand for AI-enabled products.

Demand for Nvidia's data center products, especially for generative AI and large language models,remained strong among major Internet companies, cloud service providers and enterprise customers.

Gaming platform revenue declined due to macroeconomic challenges and lower shipments, but revenue grew 22% compared to the previous quarter.

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Nvidia's CEO stressed the growing demand for products enabling generative AI and stated that the company is increasing supplies to meet the needs of the growing market.

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The company's strong Q1 performance and optimistic Q2 outlook position it for an exceptional year of growth, particularly with the incorporation of generative AI.

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Nvidia's results had a positive impact on AI-related stocks & gained about $300 billion & further proves the importance of AI & reinforces investor confidence in the future of the AI industry.

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Nvidia's stock market cap rose to more than $960 billion, cementing its position as the world's most valuable chipmaker and the fifth most valuable company on Wall Street.

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Shares of Advance Micro Devices Inc., Microsoft Corp., Google's parent company Alphabet Inc., AI software maker C3.ai and Palantir Technologies related to AI also experienced a surge in share market.

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