Dan Ives Predicts Explosive Growth for Microsoft and Nvidia—Here’s Why

Wall Street's favorite tech bull just doubled down on two AI titans.

### The AI Arms Race Heats Up

Microsoft's Azure cloud dominance and Nvidia's stranglehold on GPU supply chains position both companies to ride the next wave of enterprise AI adoption—whether the hype is real or not.

### Chips, Clouds, and Money Trees

While retail investors chase meme coins, institutional money keeps flowing into the infrastructure players actually powering the AI revolution. Surprise—the house always wins.

Analysts whisper about 'exponential' data center demand, but let's be real: when has Wall Street ever lowballed a trend it helped create?

The Future of AI Companies

Ives noted the rapid increase in AI-based applications, setting the stage for the expansion of major tech companies. He emphasized Microsoft’s pioneering role in innovation and the significant steps taken under CEO Satya Nadella’s leadership. Additionally, Ives highlighted Nvidia’s importance in aligning with this trend.

Dan Ives: “The explosion in AI applications is quite positive for software and major data centers. We especially foresee that Microsoft and Nvidia will reach $5 trillion within 18 months.”

Currently, Microsoft’s market value stands at $3.8 trillion, while Nvidia’s is at $4.2 trillion. Both companies continue to enhance their AI investments as the year progresses.

Stocks with Rising Potential

Dan Ives asserted that beyond Microsoft and Nvidia, several software sector companies hold the potential for significant rises in the near future. Companies like Palantir, MongoDB, Snowflake, and IBM were mentioned as potential frontrunners in the upcoming period.

Dan Ives: “The software sector hasn’t hit the expected peak in a short time. However, we observe companies like Palantir, MongoDB, Snowflake, and IBM starting to generate substantial income from AI. Cybersecurity and software might become prominent in the technology sector in the year’s second half.”

Palantir trades at $153, MongoDB at $218, Snowflake at $211, and IBM at $282. These companies share a strategy focused on increasing revenues from AI and data technologies.

AI and Cryptocurrency

In recent years, software stocks have underperformed compared to the technology index at large. However, with the spread of AI technologies across various sectors, it’s expected that demand for companies operating in data-centric and cybersecurity areas will grow. Investors and sector analysts anticipate an increase in company valuations if AI investments persist. Assuming global economic conditions, digital transformation, and technological developments pick up pace, technology firms might see long-term profit increases.

The predictions made also impact the future of cryptocurrencies. As cryptocurrencies are viewed similarly to technology stocks, such impressive rises in Nvidia and Microsoft’s valuation could indicate a heightened interest in cryptocurrencies. Additionally, AI-focused cryptocurrencies might stand out more positively in this process.

Owing to the influence of AI and data technologies, leading companies in the tech sector appear to have the potential to increase their market value. Investors closely monitor both large-scale and software-focused companies. Developments in the sector, especially with the adoption of new technologies, continue to affect various economic indicators. In today’s diverse market, alongside expert opinions, companies’ technological investments’ long-term performances are also crucial.