Nvidia Is Trading for Less Than $150 After Its Stock Split: Time to Buy?
Over the past few years, investors looking for a top artificial intelligence (AI) stock have rushed to Nvidia (NASDAQ: NVDA). The company dominates the AI chip market, holding an 80% share, thanks to the top performance of its graphics processing units (GPUs). The GPU has the ability to handle multiple tasks simultaneously, making it the perfect match for the high speed needed in AI training, inferencing, and much more.
This has resulted in explosive earnings growth for the company that once mainly served the video games industry. In recent quarters, revenue and net income both have climbed in the triple digits. This also has fueled share price performance, boosting the stock more than 500% over the past three years -- and helping the stock soar past $1,200 a few weeks ago.
If you think that price tag is too high, though, not to worry. Nvidia recently split its stock, bringing it down to one-tenth of its original price. Since the June 7 operation, the stock has traded between $120 and $135. Does this mean -- particularly if you balked at the tech giant's $1,000-plus price tag earlier -- that now is the time to buy? Let's find out.
Source Fool.com
