Key Points
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Nvidia and Tesla rank among the top three best-performing stocks in the S&P 500 since January 2020, with returns of 2,690% and 1,010%, respectively.
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Nvidia leads in data center GPUs and is positioned to benefit from the growth of physical AI, while Tesla anticipates dominating the robotaxi market despite recent struggles in electric car market share.
Nvidia (NASDAQ: NVDA) achieved a return of 2,690% since January 2020, driven by soaring demand for AI chips. In contrast, Tesla (NASDAQ: TSLA) recorded a 1,010% return, fueled by interest in self-driving technology. Analysts project that Nvidia could reach $410 per share by 2030, suggesting a 150% upside from its current price of $164. Tesla shares might reach $2,600 by 2029, indicating a 735% upside from $310.
Nvidia holds over 90% market share in data center GPUs and is positioned to leverage momentum in generative AI and autonomous vehicles. Tesla aims for a 63% revenue share from robotaxi services by 2029, amidst challenges like a 13% drop in vehicle deliveries in early 2023, despite a 35% increase in global electric vehicle sales.
