Have you ever wondered how a single company can become the talk of Wall Street, moving markets and re-shaping the future of technology?
Today, we’re diving into the incredible story of Nvidia—an American company that’s not only at the heart of the Artificial Intelligence (AI) revolution, but has also surged to a staggering US$4 trillion valuation, making it one of the most valuable companies on the planet.
As an important note, this article is for educational purposes only and does not constitute investment advice.
I’m sharing my personal research and experience as an active trader and investor.
Always do your own due diligence or consult a financial advisor before making investment decisions.
The rise of Nvidia: From gaming chips to AI powerhouse
Nvidia started out making graphics cards for video games, but in the last decade, it has transformed itself into the world leader in chips that power artificial intelligence.
These chips, known as GPUs (graphics processing units), are now the “brains” behind everything from ChatGPT and self-driving cars to medical research and robotics.
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In 2023, Nvidia’s stock price began an extraordinary climb as the world realized just how central its technology was to the AI boom.
By July 2025, Nvidia’s market capitalization—meaning the total value of all its shares—had soared past $4 trillion.
For context, that’s more than the entire GDP of many African countries combined!
Recent data shows Nvidia’s stock closing at $164.10 on July 10, 2025, having risen more than 28% in the past year and over 200% since the start of the AI frenzy in 2023. Its revenue and profits have exploded, driven by massive demand from tech giants, cloud computing companies, and even governments racing to build AI infrastructure.
Why is Nvidia so important to Wall Street?
Wall Street is always looking for the “next big thing.” Right now, that’s AI—and Nvidia is at the very centre. Here’s why:
AI Everywhere: From voice assistants to smart farming and fintech, AI is transforming every sector. Nvidia’s chips are the gold standard for training and running these AI systems.
Big Tech’s Arms Race: Companies like Microsoft, Google, and Meta are buying Nvidia chips by the truckload to power their AI models.
Scarcity and Pricing Power: Nvidia’s technology is so advanced that it faces little competition. This allows it to charge premium prices and enjoy high profit margins.
Investor Hype: As more investors realize how crucial Nvidia is, demand for its stock has skyrocketed, pushing its value ever higher.
What does this mean for beginner investors in Zimbabwe and Africa?
You might be asking, “How does this affect me?” or “Can I invest in companies like Nvidia from Zimbabwe or the African continent?”
The answer is yes—many African investors are now using international brokers to access US stocks. But it’s important to understand what’s driving these markets, and why companies like Nvidia are making headlines.
Key lessons from Nvidia’s surge
Innovation drives wealth: The biggest gains in the stock market often come from companies at the cutting edge of technology.
Timing matters, but so does discipline: Nvidia’s rise wasn’t overnight. It took decades of innovation, and investors who held on through ups and downs have been rewarded.
Volatility is normal: Even Nvidia’s stock has had big drops along the way. The market doesn’t go up in a straight line—I see this in my own trading, which is why I use hedging strategies (like VIX ETFs) to protect my portfolio when things get overheated.
My approach: Trading, hedging, and long-term investing
As someone who trades actively, I’ve learned that it’s extremely difficult—if not impossible—to predict exactly when the market will rise or fall. That’s why I don’t try to “call the top” or “pick the bottom.” Instead, I focus on:
Looking for undervalued stocks in the US equities market, using fundamental analysis and market trends.
Using hedges (like VIX ETFs) when the S&P 500 is running hot, to protect against sudden drops.
Diversifying across sectors and regions, so I’m not putting all my eggs in one basket.
Over the past few years, I’ve compounded my money at an average rate of 28% per year—much higher than the average return from real estate in Zimbabwe, which typically ranges from 6–12% per year (including both rental income and property appreciation).
If you’re interested in following my journey, learning more about trading, or understanding how to invest in global markets, subscribe to my Streetwise Economics YouTube channel here :Zimbabwe Property 2025: Hidden Costs, Scams, & Where Smart Investors Are Buying Now for regular updates, tutorials, and market insights.
How AI Is changing Wall Street—and the world
AI isn’t just a buzzword. It’s changing how companies operate, how governments make decisions, and even how we live our daily lives.
Here are a few ways AI is reshaping the investment landscape:
Faster data analysis: AI can process massive amounts of financial data in seconds, helping investors make smarter decisions.
Algorithmic trading: Many hedge funds now use AI-powered algorithms to trade stocks, bonds, and currencies.
New business models: Companies in healthcare, agriculture, and logistics are using AI to cut costs, improve efficiency, and create new products.
Nvidia’s chips are the backbone of this revolution. As AI adoption spreads, demand for Nvidia’s products is likely to remain strong—though competition and regulation could eventually slow its growth.
What should beginner investors watch out for?
If you’re new to investing, here are some practical tips:
Start small, learn as you go: Use demo accounts or virtual trading platforms to practice before risking real money. In the case of NVIDIA, I don’t own any shares at time of writing. However, I prefer to buy stocks when they drop significantly, not when everyone is hying it up.
Understand the risks: Stocks can go up and down quickly. Never invest money you can’t afford to lose.
Diversify: Don’t put all your money into one stock or sector. Spread your investments to reduce risk.
Stay informed: Follow financial news, read company reports, and keep learning. Markets change fast!
Think long-term: The biggest gains often come from holding quality companies for years, not days.
Real numbers: Nvidia vs other investments
Let’s compare Nvidia’s recent performance with other popular investments:
Nvidia (NVDA): Up over 200% since 2023, with a current market value of US$4 trillion.
S&P 500 Index: Up about 7% year-to-date, driven largely by tech stocks like Nvidia.
Zimbabwe Real Estate: Typical annual returns of 6–12%, with rental yields of 5–8% in major cities.
My trading Portfolio: Averaging 58% year-to-date through a mix of trading, hedging, and selective long-term investing.
Remember, past performance is not a guarantee of future results. Markets can—and do—change rapidly.
The bottom line: What’s next for Nvidia and AI?
Nvidia’s incredible surge is a sign of how powerful technology and innovation can be in shaping the future of finance.
But it’s also a reminder that markets can be unpredictable. While AI is likely to remain a major force on Wall Street, investors should stay humble, stay informed, and always manage their risks.
If you want to learn more about investing, trading strategies, and how to navigate global markets as an African investor, check out the course I co-created with Tinashe Mukogo here: https://youtu.be/f_5R0TiGovk
And don’t forget to subscribe to the Streetwise Economics YouTube channel for weekly updates, tutorials, and real-life investing stories.
Follow my journey, learn with me, and let’s build wealth together—one smart decision at a time!
