Key Takeaways:
- Nvidia remains a leader in the AI revolution, with a strong roadmap for future growth and a long-term investment opportunity.
- The company’s new Rubin platform offers significant improvements over its previous Blackwell architecture, including enhanced AI reasoning and optimized model inference at a lower cost.
- Nvidia’s success is also driving demand for other companies in the AI space, such as Serve Robotics, which is working on driverless vehicles and robotics.
- Serve Robotics has a partnership with Nvidia and is experiencing rapid growth, with a 20-fold expansion of its active fleet in just one year.
- While Serve Robotics is a speculative investment, its potential for long-term growth and success in the physical AI trend makes it an interesting opportunity for investors.
Introduction to AI Investing
The artificial intelligence (AI) revolution has been a significant driver of growth for many tech companies, with Nvidia being one of the biggest winners. However, as investors flock to AI-related stocks, it’s essential to look for companies with staying power and long-term potential. Nvidia, with its strong roadmap for future growth and dominance in the high-performance chip market, remains a great holding. As CEO Jensen Huang stated, "Blackwell sales are off the charts, and cloud GPUs are sold out." This demand is expected to continue, with the company’s new Rubin platform offering significant improvements over its previous Blackwell architecture.
Nvidia’s Lead in AI
Nvidia’s plan to release new and updated hardware on an annual cadence is a key reason for its continued success. The company’s Rubin platform, which it calls an "AI supercomputer," offers several improvements compared to Blackwell, including enhanced AI reasoning and optimized model inference at a lower cost. As Huang described it, "Rubin arrives at exactly the right moment, as AI computing demand for both training and inference is going through the roof." The Rubin platform can enhance advanced AI reasoning and optimize model inference, all at a cost per token that will be as low as one-tenth of the Blackwell platform’s cost per token. This lower cost should attract even more demand, as it can improve profitability for model developers.
Growth Opportunities for Nvidia
Nvidia’s success is not limited to its own business, as it’s also driving demand for other companies in the AI space. The China market, in particular, remains a wild card for Nvidia’s business, with management not factoring any potential sales to Chinese customers into its guidance due to trade restrictions and geopolitical tensions. However, progress has been made, and Nvidia has ordered its foundry partner to produce mass quantities of its H200 chips, anticipating high demand from the Chinese market. As Huang expects, "Chinese authorities will approve those purchases," which could propel Nvidia shares higher. Chinese tech companies have reportedly expressed interest in ordering hundreds of thousands of H200s, which could be a significant boost to Nvidia’s revenue.
Physical AI and Driverless Vehicles
Physical AI is another major phase of the AI revolution, with machines that can understand, reason, and take action. As Huang discussed at CES, "The ChatGPT moment for physical AI is nearly here." Companies developing driverless vehicles and robotics, such as Serve Robotics, are likely to benefit from this trend. Serve Robotics, which utilizes Nvidia’s Jetson Orin platform hardware and software, has deployed a fleet of over 2,000 delivery robots and has expanded its active fleet 20-fold within a year. The company’s partnership with Nvidia and its rapid growth make it an interesting opportunity for investors.
Serve Robotics: A Speculative Investment
Serve Robotics remains a speculative investment, with a market cap of over $1 billion and revenue guidance of just $2.5 million for 2025. However, if management’s expectations for this year are correct, the stock could still soar further. The company’s early estimates project revenue of approximately $25 million for 2026, which would be a significant increase. As Huang said, "I love Serve," and the company’s partnership with Nvidia and its growth potential make it an interesting opportunity for investors. While it’s essential to approach this investment with caution, the potential for long-term growth and success in the physical AI trend makes Serve Robotics worth considering.
Conclusion
In conclusion, Nvidia remains a leader in the AI revolution, with a strong roadmap for future growth and a long-term investment opportunity. The company’s success is also driving demand for other companies in the AI space, such as Serve Robotics, which is working on driverless vehicles and robotics. While Serve Robotics is a speculative investment, its potential for long-term growth and success in the physical AI trend makes it an interesting opportunity for investors. As investors look to gain exposure to the AI trend, it’s essential to focus on companies with staying power and long-term potential, such as Nvidia and Serve Robotics.
https://www.fool.com/investing/2026/01/10/want-to-buy-artificial-intelligence-ai-stocks-2026/