Nvidia is a well-known semiconductor stock that had a great year in 2021 but, importantly, broadened its product line and revenue source beyond gaming.
Nvidia is the premier designer of discrete graphics processing units that elevate the experience on computing platforms. Its chips serve a number of end markets, including premium PCs for gaming, data centers, and increasingly automotive infotainment systems.
Nvidia has broadened its focus from traditional PC graphics applications such as gaming to more complex growth opportunities, including artificial intelligence and autonomous driving, which leverage the high-performance capabilities of the firm's graphics processing units. Nvidia’s lead in these areas has given it a bit of a moat to beat back competitors.
The company just recently announced the availability of Nvidia Omniverse software and revealed new Omniverse features for digital artists and designers. "This is the future of 3D content creation and how virtual worlds will be built," commented Jeff Fisher, Nvidia senior vice president of consumer products.
In addition, for the emerging autonomous car market, Nvidia announced new users of its Nvidia Drive platform. It said electric-vehicle makers such as Volvo-backed Polestar and Chinese firms such as Nio, Xpeng and Li Auto are incorporating its Drive Hyperion platform.