In the two years since ChatGPT launched, stocks have soared to new highs, large-cap stocks have ballooned in size, and artificial intelligence chip maker Nvidia has become the second-largest U.S. stock by market capitalization. But the biggest winner is actually a little-known Ohio-based cooling technology stock called Vertiv Holdings. Vertiv has benefited greatly since launching its widely used chatbot in late November 2022, as investors scour the market for secondary winners in the construction of large language models and massive data centers. The first thing that attracted people’s attention was the later megcap technology company. Jefferies’ sales department noted that Nvidia was the 13th largest company in the United States when the AI craze took off. The S&P 500 has gained about 49%. While big tech stocks have dominated investors’ attention since the emergence of mass market artificial intelligence, Jefferies highlighted Vertiv as one of the biggest stock winners, up 861% over the past two years. The stock has soared 165% in 2023 alone, more than tripling in size since the start of 2024. . Demand continues to rise as customers look for ways to manage every aspect of their data center needs. VRT 1Y Mountain Vertiv Shares In an interview with CNBC’s “The Exchange” last October following Vertiv’s latest earnings report, CEO Giordano Albertazzi defended the stock’s surge and highlighted why the future still looks bright. “We believe we are in a very good position to truly reap the benefits of artificial intelligence – which is accelerating demand across the data center industry and where we are a leader in data center infrastructure,” he said. I’m very optimistic about the future.” Nvidia is the second-best performer, with shares up 722% since the launch of ChatGPT. Huang’s company has become a model for all things artificial intelligence, with its graphics processing units underpinning the technology’s large language models. Advanced Micro Devices and Broadcom have also benefited from this trend, with their share prices soaring 90% and 208% respectively since the launch of ChatGPT. AMD is down about 4% so far in 2024, while Broadcom is up 50%. NVDA Mountain 2022-12-02 Nvidia stock price as a whole over the past two years, Jefferies noted that shares of the seven largest stocks (Nvidia plus Microsoft, Apple, Tesla, Meta Platforms, Amazon and Alphabet) have soared 203%, Semiconductor stocks have also risen 77% in the past two years. The company said capital spending on artificial intelligence is 230% higher than the S&P 500 index. In addition to Vertiv, Modine Manufacturing is another unknown AI winner. Air cooling stocks have increased nearly 550% in the past two years and will more than double in 2024 alone. Jeffries also highlighted some of the AI losers, including several edtech platforms like Chegg and call center companies, which are now considered threatened by the emergence of AI. Intel also underperformed, with its shares falling 19%.
