Nvidia: The AI Powerhouse Set to Steal the Spotlight at CES 2024
This year, Nvidia (NASDAQ: NVDA) has transformed from a player in the artificial intelligence (AI) sector to a leading force driving the narrative. Known for its significant impact, Nvidia’s announcements now ripple through the entire capital markets.
As we approach the New Year, anticipation is building for Nvidia’s upcoming announcements slated for January 7. Let’s delve into what to expect as this pivotal moment could greatly influence Nvidia investors.
Upcoming Events at CES 2024
From January 7 to 10, Las Vegas will host one of the largest tech gatherings of the year, the Consumer Electronics Show (CES). This conference is crucial for industry leaders to unveil their newest products and discuss how they will shape technological trends.
AI stands out as a dominant topic at this year’s CES. Investors will especially be watching Nvidia, the leading company in the AI space, as it unveils plans for future developments.
Image source: Getty Images.
Past CES Trends and Nvidia’s Stock Movement
Let’s take a look back at highlights from previous CES events and how Nvidia’s announcements affected its stock price.
- CES 2020 (Jan. 7-10): Nvidia introduced G-SYNC displays, resulting in a 5% stock price increase in the following month.
- CES 2021 (Jan. 11-14): New RTX 3060 graphics cards were launched, boosting Nvidia’s stock by around 12% one month later.
- CES 2022 (Jan. 5-7): Updates to G-SYNC and GeForce products led to a 12% decline in stock price after the event.
- CES 2023 (Jan. 5-8): Nvidia highlighted advancements in accelerated computing, and stocks surged 48% in the month post-event.
- CES 2024 (Jan. 9-12): Announcements around new GPUs and generative AI led to a 36% stock price increase in the following month.
Between 2020 and 2022, Nvidia mainly focused on enhancing graphics for high-performance gaming. The major shift towards AI began with the release of ChatGPT on November 30, 2022, which sparked a larger trend within the industry. CES 2023 marked Nvidia’s commitment to participating in this AI revolution, a move that resonated well with investors.
Assessing Nvidia Stock Ahead of CES 2024
Nvidia’s stock fell after CES 2022, likely due to broader market conditions rather than specific company issues. During 2023, Nvidia’s stock rebounded significantly, reflecting the overall market recovery and the AI boom.
The Nasdaq index, which had plunged 33% in 2022, enjoyed a stellar comeback with a 43% gain in 2023. So far in 2024, it has risen another 32%. Thus, Nvidia’s stock gains in 2023 and early 2024 seem more aligned with the market’s positive sentiment surrounding AI rather than just reactions to CES announcements.
As Nvidia continues to invest in research and development, it will likely strengthen its position in the competitive landscape. Observing these advancements is more prudent for investors than focusing solely on events like CES.
Exploring Investment Opportunities
Many investors may feel they missed opportunities with major stocks. However, Nvidia exemplifies potential for future growth, especially heading into CES 2024.
The past shows that early investments can yield significant returns:
- Nvidia: An investment of $1,000 in 2009 would be worth $359,936 now!
- Apple: A $1,000 investment in 2008 would be worth $46,730.
- Netflix: An initial investment of $1,000 in 2004 would now be worth $492,745.
Currently, analysts are identifying three notable companies as potential investment opportunities. Don’t miss your chance to capitalize on growing stocks.
*Stock Advisor returns as of December 9, 2024
Adam Spatacco has positions in Nvidia. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
