2 Reasons to Buy Nvidia Stock, and 1 Reason to Sell
In 2023, Nvidia (NASDAQ: NVDA) has had one of its best years in business since its founding over three decades ago. The company's business exploded after the launch of OpenAI's ChatGPT reignited interest in artificial intelligence (AI) and sent demand for graphics processing units (GPUs) soaring.
Nvidia's dominance in GPUs gave it a head start in AI, beating competitors such as Advanced Micro Devices and Intel to the market and allowing Nvidia to become the primary chip supplier to numerous companies. As a result, the chipmaker's earnings have soared, with its stock up 211% year to date.
There are plenty of reasons to be bullish about Nvidia. The company likely has a crucial role to play in AI over the long term and is profiting from recovering sectors like PCs and gaming. However, prospective investors should be aware of the positives and potential negatives of its business before filling up on its stock.
Source Fool.com
