Why Nvidia Stock Skyrocketed 239% in 2023

As you probably know by now, Nvidia (NASDAQ: NVDA) was the stock of the year in 2023. The chipmaker traditionally known for its graphics processing units (GPUs) that have powered industries like gaming, crypto, and autonomous vehicles, has emerged as the clear leader in artificial intelligence (AI) chips as its technology is also well suited to running the kind of deep learning models that programs like ChatGPT require.

As a result, Nvidia reported skyrocketing growth throughout the year, which, not surprisingly, drove the stock to towering gains. According to data from S&P Global Market Intelligence, the stock finished 2023 up 239%. As you can see from the chart below, most of those gains came in the first half of the year as the fervor over generative AI reached a fever pitch.