With Nvidia's stock price reaching a historic high this week, founder and CEO Huang Renxun's net asset value exceeded $100 billion for the first time, ranking 15th on the global billionaire list.
Nvidia is undoubtedly the most eye-catching star stock in the past two years. As of the closing of the US stock market on May 29th local time, Nvidia's stock price rose 0.81% to close at $1148.25, with a market value of $2.82 trillion. The stock price hit a historic high of $1154.92 on that day. As of now, Nvidia has become the third highest market capitalization listed company in the US stock market.
Before Nvidia, there were also Apple and Microsoft. At present, Apple's market value is $2.92 trillion, with only a difference of $100 billion between the two companies.
What is Huang Renxun's "wealth creation code"?
With Nvidia's stock price reaching a new historical high, Huang Renxun's personal wealth has also reached new heights. Foreign media even predict that Huang Renxun is expected to surpass Elon Musk to become the world's richest person before 2025.
According to foreign media reports, 61 year old Huang Renxun founded NVIDIA in Silicon Valley in 1993, initially to develop GPUs for 3D gaming. Although the gaming business has been Nvidia's main source of revenue for many years, the company has also expanded into other markets such as cloud gaming subscriptions, metaverse, and cryptocurrency mining chips.
Unlike other high-profile tech leaders in Silicon Valley, Huang Renxun is known for his low-key and pragmatic personal image. Although he started with hardware development, he holds an optimistic attitude towards the future development of artificial intelligence technology and cultivates this field as the core of Nvidia's business.
It is understood that in Nvidia's first quarter revenue of $26 billion, its core growth was driven by its data center business, breaking a historical record with $22.26 billion, a year-on-year increase of 427%.
At the end of 2022, OpenAI has released ChatGPT, a chatbot, showcasing the enormous potential of generative artificial intelligence. The implementation of this technology largely relies on the GPU chips produced by Nvidia. With Microsoft, Google Technology giants such as Meta have increased their investment in the field of artificial intelligence, leading to a surge in demand for Nvidia AI chips and driving the company's market value to double again since 2023, reaching a scale of $2.6 trillion. This turning point has transformed Nvidia into a dominant technology giant in the field of artificial intelligence.
On May 23rd, after Nvidia released a comprehensive and unexpected Q1 2025 performance, Huang Renxun and the CFO also released a lot of "strong news" during the performance conference, including the launch plan of the new chip Blackwell, explanations for possible "window periods" between product cycles, and the company's development after Blackwell.
Huang Renxun confidently said on the same day, "The next industrial revolution has begun! We are at the starting point of the next wave of growth."
NVIDIA's stock price is soaring, can it continue to rise in the future? Analysis by industry insiders
With the increasingly fierce competition surrounding AI (Artificial Intelligence), relying on its powerful ecosystem and technological moat, The stock price of AI chip leader Nvidia has gained new momentum.
Currently, Nvidia is the world's third-largest technology giant with a market value second only to Microsoft ($3.19 trillion) and Apple ($2.92 trillion). According to Wind data, Nvidia's stock price has risen by over 230% in the past 2023, and has risen by 130.01% so far this year.
Since the company released its latest comprehensive and unexpected financial report on May 23, Nvidia's stock price has continued to rise. Nvidia's first quarter financial report showed that the company achieved a revenue of $26.044 billion during the period, a year-on-year increase of 262%, far exceeding market expectations of $24.7 billion. At the same time, the company predicts that sales in the second quarter of the fiscal year 2025 will reach $28 billion, higher than market expectations of $26.6 billion. The company announced that it will receive quarterly dividends, increasing the dividend payout per share from $4 in the previous quarter to 10 cents, and will implement a 1 split 10 split plan.
CJ Muse, an analyst at Cantor Fitzgerald, pointed out that Nvidia's latest financial report "completely dispels the concern that the chip demand of the company will have a foam in 2024". Moreover, Musk recently made a strong assist, stating that xAI requires tens of thousands of chips, which further enhances people's confidence and indicates that spending on AI chips will continue.
I/O Fund technology analyst Beth Kindig said that Nvidia's upward trend is far from over. She predicts that Nvidia's stock price will soar 258% from its current level by 2030, with a market value of $10 trillion, thanks to its indestructible moat. The reason is that Nvidia's next-generation Blackwell GPU chips, its CUDA software platform, and its development in the automotive market will drive Nvidia to achieve a new round of large-scale growth.
Domestic private equity tycoon Danbin is also supporting NVIDIA. Danbin stated that he was the only one who held a heavy position in Nvidia from beginning to end in Dongfang Port, and other researchers were all strongly advised by him; quot;  Intermittent& quot;  Holding NVIDIA.
Previously, after the release of financial reports, several Wall Street investment banks have raised Nvidia's target price. Currently, According to Factset's data, 56 out of 62 analysts gave Nvidia a "buy" or "outperform" rating, while the remaining 6 gave it a "hold" rating. The average target price given by analysts to Nvidia is $1174.41, with a maximum target price of $1400.