Nvidia Eyes Return to Record as AI Spending Bonanza Continues
- Chipmaker has seen a dramatic rally before next week’s results
- Capex intensity suggests AI spending levels are sustainable
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With questions swirling around Federal Reserve policy, the state of the economy and the US presidential race, at least one thing seems clear on Wall Street: spending on artificial intelligence remains a central priority.
Companies are pouring tens of billions of dollars into building out AI infrastructure and services, making the beneficiaries — notably Nvidia Corp. — close to a sure thing in terms of their growth prospects. The chipmaker’s results next week will provide further clarity on AI demand, and could vault the shares back into record territory.