Reviewed by Gotrade Internal Analyst
Jakarta, Gotrade News - Nvidia has basically changed the lives of many investors with a nearly 23,000 percent jump in the last decade. But the big question now is: does this stock still have massive growth potential left in the tank?
Key Takeaways
- Nvidia is expanding its AI dominance into healthcare, automotive, and telecommunications.
- A strategic partnership with Groq is a key move to fend off competitors.
- Around 97 percent of investors still hold a 'Buy' rating for this stock.
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The main engine for their success remains their focus on expansive AI development. Their chips dominate AI model training, even with tight competition from Alphabet Inc.
Nvidia’s opportunity isn't just about selling chips anymore, but rather wider AI adoption. They are starting to tap into healthcare and automotive sectors to create platforms tailored for specific industry needs.
Strategy to Face the Competition
A breath of fresh air comes from a non-exclusive licensing deal with an AI company called Groq. Finbold reported that this move is seen as strategic to secure the company's growth next year.
Rosenblatt Securities analyst, Stacy Rasgon, mentioned that this deal is crucial to address market concerns. It is seen as a move to block potential market share loss in GPUs due to the rise of Tensor Processing Units (TPUs).
However, the competition is getting fierce with aggressive moves from Advanced Micro Devices, Inc. Plus, Amazon.com, Inc. is starting to attract retail investors looking for tech investment alternatives.
Nvidia's main challenge right now is its heavy reliance—90 percent of revenue—on AI infrastructure. A shift in client sentiment towards data center models could be a risk investors need to watch out for.
If the innovation keeps rolling, this stock is still worth keeping in a long-term portfolio. CEO Jensen Huang’s consistency in maintaining the foundation of AI progress will be the key.
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Reference:
- Finbold, Is Nvidia stock still a millionaire maker?. Accessed on December 31, 2025
- Featured Image: Shutterstock
Disclaimer
Gotrade is the trading name of Gotrade Securities Inc., registered with and supervised by the Labuan Financial Services Authority (LFSA). This content is for educational purposes only and does not constitute financial advice. Always do your own research (DYOR) before investing.
