AI continues to be the answer for tech investors
Nvidia hit a new record high Thursday. And shares of Google owner Alphabet popped following improvements to its Bard chatbot.
Artificial intelligence is clearly the tech trend of 2023. Semiconductor giant Nvidia, whose chips help power ChatGPT, hit a new all-time high Thursday. Nvidia now has a market cap of above $1.1 trillion.
And Google owner Alphabet, which has launched a Bard chatbot to compete with ChatGPT, rose more than 4% after rolling out some new Bard features.
Shares of Nvidia have skyrocketed more than 200% this year. Alphabet is up more than 40%. It’s clear that Wall Street has fallen head over heels in love with AI.
Two ETFs catering to companies with skin in the AI game…the Defiance Quantum ETF and iShares Robotics & Artificial Intelligence Multisector ETF…have each soared about 35% year-to-date. And two other ETFs from Global X — the Global X Artificial Intelligence & Technology ETF and Global X Robotics & Artificial Intelligence ETF — are up about 45% in 2023.
It may still be too soon to declare a winner (or winners) in the AI revolution. Microsoft is also a leading contender in the chatbot race, for example. And the heady gains for many top tech stocks this year are starting to make valuations a bit bubbilicious. But don’t tell that to Wall Street. There’s nothing artificial about the returns for companies making a big splash in AI.