Underdog Investors

NVIDIA Corporation (NASDAQ: NVDA) has been on an incredible journey, with its stock price skyrocketing due to excitement around AI (Artificial Intelligence), its strong position in the market, and consistently beating expectations. Some say this rise feels like the Dot-Com bubble of the late '90s, but is that really the case? Let's break it down in simple terms. Why Is NVIDIA's Stock So High? In my last look at NVIDIA, I noted that despite its rapid rise, the company’s strong performance made its high price reasonable. Since then, NVIDIA's stock has jumped another 50%, briefly becoming the most valuable company in the world. So, what's driving this massive growth? 1. AI Excitement Think of AI as the latest and greatest gadget everyone wants. The buzz around AI, especially generative AI (the kind that creates new content like text, images, and even music), has been the main reason for NVIDIA's rise. Imagine the excitement around the newest iPhone multiplied many ...

If you've been wondering why your investments have been looking a bit rosier this year, you can thank artificial intelligence (AI). In a stunning turn of events, AI-themed stocks have fueled nearly half of the gains in the MSCI All Country World Index (ACWI) in 2024.  Let's break down how this high-tech trend is shaking up the market and what it means for your portfolio. AI Stocks: The Market's Secret Sauce Artificial intelligence isn’t just making our gadgets smarter; it’s also turbocharging the stock market. So far this year, AI-related stocks have driven almost 50% of the MSCI ACWI's 11% return. That’s right – just a handful of tech companies are making a huge impact! The Big Players: Nvidia and Friends Leading the charge is Nvidia (NVDA), which has contributed almost 3% to the index’s year-to-date return. That’s a hefty chunk for a single stock. Other tech giants like Microsoft (MSFT), Alphabet (GOOGL), Meta Platforms (META), Amazon (AMZN), and Apple (AAPL) are also...