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NVIDIA Stock Continues to Rise in 2018

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NVIDIA stock up 27% in January 2018

Shares of semiconductor (SMH) firm NVIDIA (NVDA) rose 27% in January 2018 to close at $245.8. NVIDIA stock has risen 125% in the last 12 months and generated returns of 82% in 2017. NVIDIA stock is now trading 158% above its 52-week low of $95.17 and 1.4% below its 52-week high of $249.27. Peers Intel (INTC) and Advanced Micro Devices (AMD) rose approximately 4.3% and 34% last month.

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NVIDIA bags Uber and Volkswagen as customers

At the CES (Consumer Electronics Show) in January, NVIDIA announced that Uber and Volkswagen are using its chips and technology aimed at handling processing load for driverless auto performance. NVIDIA already has deals with Tesla (TSLA) and Baidu (BIDU).

Last December, NVIDIA launched its Titan V desktop GPU for AI (artificial intelligence) researchers and developers, which fueled rumors that Volta would only be limited to professionals and enthusiasts. The GeForce gaming GPUs would be formed from NVIDIA’s new Ampere GPU generation. However, analysts believe that Volta could appear in gaming GPUs.

Will data center drive revenue growth?

NVIDIA’s revenue from the data center vertical more than doubled in fiscal 3Q18 to $501 million. Analysts expect data center revenue to drive growth over the next few years. The above chart shows a sequential growth comparison between NVIDIA and Intel in the data center business.

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