Investing.com — AI-darling NVIDIA’s (NASDAQ:) stock closed at another new all-time high on Monday as it continued its meteoric rise. The stock closed up 4.14% to $143.71 and is now up 190.2% year-to-date.
Gains come after Taiwan Semiconductor Manufacturing (NYSE:), which counts NVIDIA as one of its largest customers, said late last week that AI demand is “real” and “sustainable”. TSMC said they now see the revenue contribution from server AI processors to more than triple this year, and account for mid-teens percentage of their total revenue in 2024.
In addition, large client Microsoft Corporation (NASDAQ:) is said to have increased its fourth-quarter NVIDIA GB200 orders by 3x from 400 racks to 1,450 racks, according to analyst Ming-Chi Kuo.
“Blackwell chip production ramp-up begins in early 4Q24,” Kuo stated. “Considering yield rates and testing efficiency, estimated shipments are about 150,000-200,000 units in 4Q24, with significant growth projected at 200-250% QoQ to 500,000-550,000 units in Q1 2025.”
Dell Technologies Inc (NYSE:) is said to be ready to ship Blackwell servers as soon as November.
Wedbush analyst Dan Ives said they believe “overall AI infrastructure market opportunity could grow 10x from today through 2027 as this next generation AI foundation gets built with our estimates a $1 trillion of AI cap-ex spending is on the horizon over the next 3 years.”
