10 Best ESG Stocks To Buy Now

3. NVIDIA Corporation (NASDAQ:NVDA)

Percentage of holdings in the fund: 6.73%

Number of Hedge Fund Holders: 179

NVIDIA Corporation (NASDAQ:NVDA) leads the market in designing and selling Graphics Processing Units (GPUs), a sector that has surged due to the growing demand for artificial intelligence models. The company’s Blackwell GPUs are up to 20 times more energy-efficient than traditional CPUs for specific AI and high-performance computing (HPC) tasks. Additionally, by the end of FY25 and each year after, NVIDIA Corporation (NASDAQ:NVDA) aims to achieve and maintain 100% renewable electricity for its offices and data centers under operational control.

NVIDIA Corporation (NASDAQ:NVDA) recently announced plans to increase production of its Blackwell chips in the second half of 2024. Experts predict that its current-generation Hopper chips will continue to see strong sales through the end of the year, with Blackwell chips likely becoming a significant sales driver by then. Despite a reported delay in the release of NVIDIA Corporation (NASDAQ:NVDA)’s GPU architecture, Goldman Sachs remains optimistic that management commentary and upcoming supply-chain data could boost NVIDIA’s earnings outlook.

Stifel also maintained its Buy rating on NVIDIA Corporation (NASDAQ:NVDA) shares with a price target of $165.00 ahead of the company’s second-quarter fiscal 2025 results. The firm is optimistic about the demand for NVIDIA’s H-Series SKUs and expects that the company’s July results and October guidance could exceed expectations.

Patient Capital Opportunity Equity Strategy stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its Q2 2024 investor letter:

“NVIDIA Corporation (NASDAQ:NVDA) continued to lead both the market and the portfolio, remaining a top performer in the period gaining 36.7%. Nvidia is the market leader in designing and selling Graphics Processing Units (GPU), which has recently benefited from the insatiable demand of artificial intelligence (AI) models. The company currently captures 92% market share of data center GPUs and grew revenue, earnings and free cash flow (“FCF”) an astounding 126%, 392%, and 610%, respectively, over the last year. While we expect competition to increase, we think NVDA can continue to maintain top market share. While many are concerned with backlog times shortening, we think the rollout of the B100, which promises 2.5x better performance for only 25% more cost, later this year will create more shortages. With leading edge technology, an increasing innovation cycle and strong cash generation, the company is well positioned for the increased adoption of artificial intelligence (AI).”