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2 hours ago
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If You'd Invested $3,000 in Nvidia (NVDA) Stock 20 Years Ago, Here's How Much You'd Have Today
Key Points The answer may make you want to kick yourself. Hindsight is 20-20, and few back then expected Nvidia to grow so quickly. You still may do well investing in the company now. 10 stocks we like better than Nvidia › Here's a question and answer that might make you kick yourself: If you'd invested $3,000 in shares of Nvidia (NASDAQ: NVDA) 20 years ago, what would it be worth today? The answer: $2.3 million. (It would be even better if you had reinvested your dividends in more shares of Nvidia along the way. Your stake would be worth around $2.5 million.) That's an average annual gain of 39.5%! The S&P 500 averaged a solid 9.22% in the same period. Don't be too hard on yourself if you missed the monster growth, though. Ask 100 people, and you may not find one who invested in Nvidia back in 2005 and held on. Holding on to great companies for many years, if not decades, is one of the best ways to build wealth, but it's easier said than done. For one thing, it's not always clear which companies will become long-term winners, and even some extremely promising companies fall on hard times occasionally, with their stock sinking. It can be hard psychologically to not sell shares `at those times. For a long time, Nvidia was a semiconductor company specializing in chips for gaming. It was very successful at that, but its explosive growth in recent years is largely due to its dominance in chips for data centers, which are in high demand due to artificial intelligence (AI) computing activities. Too late to buy? While it's too late to buy shares of Nvidia in 2005, it's not too late to buy shares in 2025, and they don't look terribly overvalued at recent levels, either -- despite the stock hitting an all-time high. Nvidia's recent forward price-to-earnings ratio (P/E) of 38 is roughly on par with its five-year average of 39. In its last quarter, Nvidia's revenue popped by 69%, with double-digit gains expected in the quarters to come. If you expect the use of AI to increase in the near future along with more demand for data centers and the chips on which they run, take a closer look at Nvidia. Do the experts think Nvidia is a buy right now? The Motley Fool's expert analyst team, drawing on years of investing experience and deep analysis of thousands of stocks, leverages our proprietary Moneyball AI investing database to uncover top opportunities. They've just revealed their to buy now — did Nvidia make the list? When our Stock Advisor analyst team has a stock recommendation, it can pay to listen. After all, Stock Advisor's total average return is up 1,036% vs. just 181% for the S&P — that is beating the market by 855.09%!* Imagine if you were a Stock Advisor member when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $625,254!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,090,257!* The 10 stocks that made the cut could produce monster returns in the coming years. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 29, 2025 Selena Maranjian has positions in Nvidia. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy. If You'd Invested $3,000 in Nvidia (NVDA) Stock 20 Years Ago, Here's How Much You'd Have Today was originally published by The Motley Fool
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Wall Street firm drops bold S&P 500 call after White House trade moves
Wall Street firm drops bold S&P 500 call after White House trade moves originally appeared on TheStreet. Wall Street's been marching its way back into bullish territory, but one firm just hit the gas. Analysts at Oppenheimer just dropped the loudest S&P 500 target on Wall Street, and traders are doing double-takes. With President Donald Trump cutting billion-dollar deals left and right, Mr. Market is taking full notice, but Oppenheimer thinks we're just getting started. The question now: Are they ahead of the curve or tempting fate? 💵💰💰💵 President Trump's recent trade streak has everyone buzzing, but it seems Oppenheimer's seeing something others aren't at this point. President Trump's trade blitz fuels S&P 500 rebound, but Beijing wild card remains President Trump's shift from tariff escalation to trade diplomacy has effectively flipped the script on U.S. stocks. In just a couple of weeks' time, the White House locked down $1.9 trillion in cross-border agreements. That includes a massive $550 billion deal with Japan and a $1.35 trillion framework with the European into the specifics of the EU agreement, it includes $750 billion in American energy exports and $600 billion in inbound investment pledges. Consequently, the S&P 500 has now climbed 28.2% since its April 8 low of 4,981, particularly on the back of the rallying heavy-hitting cyclical sectors. Industrial bellwethers like Caterpillar, GE Aerospace, semiconductor giants such as Nvidia and Texas Instruments, and telco players like Verizon are looking to take things up a notch. Trump's 15% levy on most European goods looks steep, but it has been paired with long-term clarity on trade flows and market access. Still, China remains a strategic adversary. Export controls on AI chips and upcoming legislation on outbound investments continue to weigh down the U.S.-China outlook. Beijing, while quiet, has the potential to retaliate with rare earths, cybersecurity mandates, or sluggishness in approving U.S. firms working in China. Though investors are leaning into the Trump trade rally, the geopolitical backdrop remains volatile. Oppenheimer resets S&P 500 target to 7,100 after President Trump's trade blitz Oppenheimer's S&P 500 forecast has leapfrogged every major Wall Street firm, putting out the boldest S&P 500 call at 7,100 by year-end. The move follows two headline-grabbing trade deals led by the Trump administration. That's a massive turnaround from April, when President Trump's 'Liberation Day' tariffs led to a steep S&P 500 selloff. Since then, the index has been rallying, with cyclical stocks leading the Oppenheimer's chief investment strategist, John Stoltzfus, says the path is clearing. 'With the announcement of trade deals (Japan, EU) by President believe that enough 'tariff hurdles' have been overcome for now,' Stoltzfus wrote. He's not alone, though. Morgan Stanley, Goldman Sachs, Bank of America, and RBC have all recently raised their targets, but none have gone as far as Oppenheimer. Oppenheimer also reinstated its previous $275 S&P earnings forecast, a signal that it sees healthier corporate profit growth ahead, especially if the Fed holds rates steady this week. More News: Amazon's quiet pricing twist on tariffs stuns shoppers Nvidia avoids White House crackdown; Trump softens on AI giant Bank of America flags 3 breakout stocks to watch ahead of earnings Whether this proves pertinent or premature is still up in the air, but with tariffs turning from headwind to tailwind, Oppenheimer isn't playing it safe. Q2 earnings season delivers biggest upside beat since 2023 It's important to note that strong earnings are doing the heavy lifting at this point. As of late July, the blended year-over-year earnings growth rate for the S&P 500 is at a cool 6.4%, according to FactSet. That's a healthy bump from the 4.9% forecast on June 30, which makes it the biggest upgrade mid-season in over two years and the eighth consecutive quarter of bottom-line far, 80% of reporting companies have gone past consensus estimates, beating both five-year (77%) and 10-year (73%) averages. It's the best beat rate since Q3 2023, and it's not just the tech space that's seeing such numbers. Seven sectors have seen such upward revisions, led by communication services and industrials. That revision wave has a real impact. Bank of America estimates that every 1-point EPS upgrade translates into a 0.8% lift in the S&P 500. Still, the rally now faces a test. With input costs sticky and macro headwinds in view, Q3 guidance needs to carry this momentum, or valuations could wobble in the process. Wall Street firm drops bold S&P 500 call after White House trade moves first appeared on TheStreet on Jul 30, 2025 This story was originally reported by TheStreet on Jul 30, 2025, where it first appeared. Sign in to access your portfolio
Yahoo
4 hours ago
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Merging AI and Quantum Computing: Here's the Stock to Watch
Key Points With its cutting-edge GPUs, Nvidia is a formidable force in the AI industry. Collaborating with quantum computer developers and Japanese researchers, Nvidia is applying its AI capabilities to advance quantum computing. While Nvidia stock seems pricey, it's a no-brainer option for investors seeking both AI and quantum computing exposure. 10 stocks we like better than Nvidia › Bread is great. Meat -- or the vegetarian filling of your choice -- is great, too. But it was the Earl of Sandwich who married the two in the 1700s to create the sandwich as we know it. The race to integrate artificial intelligence (AI) and quantum computing doesn't require the ingenuity of an English nobleman. Today, tech leaders are racing to incorporate the two technologies to revolutionize computing abilities. While Nvidia (NASDAQ: NVDA) is often recognized as an AI industry stalwart, the company is also helping to advance quantum computing, making it a smart choice for those interested in gaining simultaneous exposure to the two burgeoning industries. The company for all AI seasons It's hard to overestimate Nvidia's position as an AI leader, since it has a hand in the varying niches of the AI field. Nvidia AI Foundry, for example, offers customers an end-to-end platform and service for constructing custom generative AI models, including large language models and AI chatbots. Additionally, Nvidia AI Enterprise provides a cloud-native suite of software tools, libraries, and frameworks. Nvidia's graphic processing units (GPUs) provide the backbone for its AI proficiency. The company's latest GPU architecture, Nvidia Blackwell, is in high demand from data centers, where AI computing occurs. Earlier in July, hyperscaler CoreWeave announced that it was "the first cloud provider to deliver this groundbreaking GPU architecture for AI, graphics, and high-performance computing workloads." Like CoreWeave, hyperscaler peer Nebius is rolling out availability to Blackwell architecture to customers, and the company is, unsurprisingly, extremely enthusiastic. In June, Nebius announced that the Blackwell architecture was now available to customers in Europe. With respect to the United States, Nebius is developing a data center in New Jersey that the company plans on singularly dedicating to Nvidia Blackwell-architecture GPUs. Making the quantum leap Unlike companies such as IonQ and Rigetti Computing, which are building actual quantum computers, Nvidia is taking a different -- though necessary -- tack to advancing the nascent field. For one, Nvidia is building a research center in Boston that will integrate its Nvidia GB200 Grace Blackwell superchip (providing advanced AI computing) with quantum computing hardware. The result will be accelerated quantum supercomputing that Nvidia says "will help solve quantum computing's most challenging problems, ranging from qubit noise to transforming experimental quantum processors into practical devices." A qubit is the basic unit of information in quantum computing. Providing 2,020 of its H100 GPUs interconnected by its Quantum-2 InfiniBand networking platform to Japan's National Institute of Advanced Industrial Science and Technology (AIST), Nvidia is also playing a pivotal role in facilitating progress at the ABC1-Q, the world's largest research supercomputer dedicated to quantum computing. In addition, the system is integrated with Nvidia CUDA-Q, an open-source hybrid computing platform that assists hardware and software to conduct enormous quantum computing applications. Speaking to the collaboration between Nvidia and the AIST, Tim Costa, Nvidia's senior director of computer-aided engineering, quantum and CUDA-X, was quoted as saying: Seamlessly coupling quantum hardware with AI supercomputing will accelerate realizing the promise of quantum computing for all. Nvidia's collaboration with AIST will catalyze progress in areas like quantum error correction and applications development -- crucial for building useful, accelerated quantum supercomputers. Is Nvidia a no-brainer buy today for AI and quantum computing exposure? There are several AI leaders and a handful of quantum computing pioneers, however, Nvidia is one of the very few companies developing technologies for both tech fields. This makes it an obvious consideration for those interested in a single investment that provides exposure to both corners of the tech industry. Taking a quick look at the stock's valuation, investors may conclude that shares are pricey now, trading at roughly 56 times trailing earnings. It's important to recognize, though, that Nvidia's position as a semiconductor and AI powerhouse has led to it commanding a higher valuation -- it's five-year average trailing P/E is 70. Therefore, investors shouldn't dismiss the stock as unattractively valued. And though there may be bumps in the road as these two fields mature, Nvidia is an excellent choice for investors looking to be in position to prosper from the growth of AI and quantum computing. Should you invest $1,000 in Nvidia right now? Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Nvidia wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $625,254!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,090,257!* Now, it's worth noting Stock Advisor's total average return is 1,036% — a market-crushing outperformance compared to 181% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 29, 2025 Scott Levine has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool recommends Nebius Group. The Motley Fool has a disclosure policy. Merging AI and Quantum Computing: Here's the Stock to Watch was originally published by The Motley Fool Sign in to access your portfolio
