1 Stock That's a Better Artificial Intelligence (AI) Investment Than Nvidia
Nvidia (NASDAQ: NVDA) has been the poster child of artificial intelligence (AI) investing in 2023. The stock has risen over 230% so far in 2023, making it one of the best-performing stocks in the entire market. However, that performance comes at a price, as the stock now has a premium valuation. Still, many investors might be looking to capitalize on the hardware segment of the AI investment space.
That's where Super Micro Computer (NASDAQ: SMCI) (often called Supermicro) comes in. In fact, the stock is actually doing better than Nvidia in 2023 (it's up about 265%), yet it doesn't carry the same premium valuation. So, how do these two interact? Let's find out.
The reason for Nvidia's success in 2023 is its best-in-class GPUs (graphics processing units) that are used to crunch heavy workloads needed to develop AI models. But just one or two GPUs won't do; instead, anyone building a supercomputer or a data center connects hundreds or thousands of these GPUs together to increase their computing power.
Source Fool.com
