Key Takeaways
- Nvidia has unveiled its next-generation AI superchip platform, Rubin, which is expected to propel agentic and physical AI.
- The China market remains a wild card for Nvidia’s business, but progress has been made regarding trade restrictions and geopolitical tensions.
- Nvidia’s success is also spurring demand for other companies, such as Serve Robotics, which is developing autonomous delivery systems.
- Investors should consider companies with staying power, as life-changing returns come from long-term investing.
- Nvidia remains a great holding, but investors should also look for other names in the sector that could be excellent long-term investments.
Introduction to Nvidia’s Success
Nvidia has been a significant winner in the artificial intelligence (AI) revolution, and its success is expected to continue. As the supplier of the most sought-after high-performance chips needed to train and power AI models, Nvidia has seen its shares soar. However, investors who want to gain exposure to the trend should look for companies with staying power, as life-changing returns come from long-term investing. Nvidia certainly qualifies, and it still looks to have a long runway for growth.
Nvidia’s New Hardware and Future Prospects
Nvidia’s plan to release new and updated hardware on an annual cadence is one reason the stock remains a great holding. In its most recent quarterly report, CEO Jensen Huang stated that "Blackwell sales are off the charts, and cloud GPUs are sold out." The company has already begun production of its next-generation Rubin architecture, which it calls an AI supercomputer. 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 offers several improvements compared to Blackwell, including enhanced advanced AI reasoning and optimized model inference at a lower cost.
The China Market and Its Impact on Nvidia
The China market remains a wild card for Nvidia’s business. Management has not factored any potential sales to Chinese customers into its guidance due to the evolving situation around trade restrictions and geopolitical tensions. However, progress has been made regarding both U.S. export and Chinese import restrictions. Nvidia has ordered its foundry partner to produce mass quantities of its H200 chips, as Huang expects high demand from the Chinese market, and anticipates that Chinese authorities will approve those purchases. Chinese tech companies have reportedly expressed interest in ordering hundreds of thousands of H200s, which could propel Nvidia shares higher.
Nvidia’s Impact on Other Companies
Nvidia’s success is also spurring demand for other companies. Physical AI is another major phase of the AI revolution, and companies developing driverless vehicles and robotics are likely to benefit. One such company is Serve Robotics, which is developing autonomous delivery systems. As Huang said, "The ChatGPT moment for physical AI is nearly here." Serve Robotics’ delivery robots utilize Nvidia’s Jetson Orin platform hardware and software to operate using Level 4 autonomy. The company has expanded its active fleet 20-fold within a year, driven by growing partnerships with restaurant chains, retailers, and delivery platforms.
Investment Opportunities and Future Growth
Investors should consider companies like Nvidia and Serve Robotics, which have staying power and are well-positioned for long-term growth. While Nvidia remains a great holding, investors should also look for other names in the sector that could be excellent long-term investments. As Howard Smith, a Motley Fool analyst, notes, "The 10 stocks that made the cut could produce monster returns in the coming years." Investors should do their research and consider their investment options carefully before making any decisions.
Conclusion and Final Thoughts
In conclusion, Nvidia’s success in the AI revolution is expected to continue, and its new hardware and future prospects look promising. The China market remains a wild card, but progress has been made regarding trade restrictions and geopolitical tensions. Nvidia’s impact on other companies, such as Serve Robotics, is also significant, and investors should consider companies with staying power and long-term growth potential. As Jensen Huang said, "Rubin takes a giant leap toward the next frontier of AI." Investors who are looking to gain exposure to the AI trend should consider Nvidia and other companies like it, but should also do their research and consider their investment options carefully before making any decisions.
https://www.nasdaq.com/articles/want-buy-artificial-intelligence-ai-stocks-2026-these-2-companies-could-net-you-millions
