Investors were not impressed by Nvidia's quarterly performance and outlook even though it handily beat Wall Street's expectations thanks to the booming demand for its artificial intelligence (AI) chips.

Nvidia (NASDAQ: NVDA) has become the second-largest company in the world, with a market capitalization of $3.3 trillion as of this writing. The terrific demand for artificial intelligence (AI) chips is playing a key role in helping the chipmaker achieve this position.

Nvidia still carries the stock-boosting power, but its strength may be waning as some investors wonder how long it will last. According to a recent Bloomberg report, Nvidia founder Jensen Huang’s praise of Samsung Electronics memory chip capabilities last Wednesday prompted a 3% jump in the company’s shares.

It’s hard to imagine any of Nvidia’s rivals being able to replicate the company’s magic 2024. In the third quarter of 2024, Nvidia reported revenue of $35.1 billion, marking

Nvidia (NVDA) is a technology company that focuses on designing and developing graphics processing units (GPUs) for high-performance computing. It also develops application programming interfaces (APIs) and is the market leader in artificial intelligence (AI) hardware and software.