Did Microsoft Just Give a Big Hint That Nvidia's Remarkable Run Could Soon Be Over?
There's no question which stock is most likely at this point to be the S 500's best performer of 2023. Nvidia's (NASDAQ: NVDA) share price has close to tripled year to date. The No. 2 S 500 stock -- Meta Platforms -- trails well behind with a gain of roughly 150%.
It's also no secret what has been the biggest catalyst for Nvidia. The surging interest in generative AI has fueled tremendous demand for the company's graphics processing units (GPUs). (NASDAQ: MSFT) ranks as one of several tech giants that have been buying GPUs hand over fist. But did Microsoft just give a big hint that Nvidia's remarkable run could soon be over?
Microsoft Chief Technology Officer Kevin Scott was interviewed by Nilay Patel with The Verge in May. At the time, he told Patel that being in charge of Microsoft's GPUs was "a terrible job." The problem, according to Scott, was that people within the company would get angry with him because they couldn't get enough GPUs. This dynamic didn't affect only Microsoft -- and it helped create a massive tailwind for Nvidia that showed up in its stock price.
Source Fool.com
Microsoft Corp. Stock
The stock is one of the favorites of our community with 106 Buy predictions and 1 Sell predictions.
With a target price of 420 € there is a slightly positive potential of 6.37% for Microsoft Corp. compared to the current price of 394.85 €.
