Nvidia (NASDAQ: NVDA) shares soared more than 600% in the last three years. But the stock hasn't recorded any gains in 2025. Investors who are avoiding the stock because they feel the big gains are in the rearview mirror might be making a mistake.
Nvidia has taken a breather so far this year amid concerns that sales of its artificial intelligence (AI) advanced chips, software, and supercomputers may have peaked. Yet all the evidence is to the contrary, and the reality is Nvidia should see strong sales growth for quite a while.
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The stock will likely move higher before those sales are in the books, however. With a seemingly insatiable appetite for its AI products, investors who buy Nvidia stock now may be putting themselves on track to retire millionaires.
Image source: Getty Images.
The most obvious people to ask about demand are the ones buying the product. Nvidia's graphics processing units (GPUs) are still in high demand as its customers seek to expand AI compute capacity. The leaders of several big tech names reaffirmed plans to spend tens of billions of dollars on AI infrastructure this year.
They include Meta Platforms and Microsoft. Blackstone is an investor in tech start-ups, so it has a unique perspective on the industry. Chief Operating Officer Jon Gray recently said in a CNBC interview he is seeing a "ton of demand" related to AI data center investments.
Tesla CEO Elon Musk also told CNBC recently that the availability of the advanced semiconductor chips needed for AI to expand is currently the biggest limitation. Musk also said power generation and transformer capacity will become limiting factors in the near future. That bodes well for Nvidia's cadence of delivering more efficient chips on an annual basis.
Nvidia isn't just relying on keeping its lead in supplying GPU chips, either. That's the critical factor for those investing for retirement -- a long runway of growth is key. In addition to updating its GPU technology offering annually, Nvidia just made an important announcement that can expand its market opportunities.
CEO Jensen Huang unveiled a new strategy using Nvidia's NVLink interconnect technology. NVLink is Nvidia's proprietary interconnect technology for chips that enables high-bandwidth connections between Nvidia GPUs, central processing units (CPUs), and custom silicon. It introduced NVLink Fusion, which allows third-party CPUs and accelerators to pair with Nvidia GPUs in circuit boards and server racks.
NVLink Fusion will help cement Nvidia's AI ecosystem dominance by allowing a more open model to expand the creation of AI architecture Nvidia currently controls. It helps ensure that the core of the system continues to run through Nvidia's GPU platform.
The open-system strategy lets Nvidia maintain control of data center infrastructure while letting competitors innovate around it. Plus, customers that are developing their own in-house strategies to save costs could instead choose to supply chips while still interconnecting with Nvidia infrastructure. First Nvidia beat the competition, now it's inviting them to work with it.
That's the right long-term strategy for investors who are also thinking long term. It could accelerate the use of Nvidia platforms by more industries that might prefer a "plug-and-play" type option.
If it wasn't already, Nvidia has secured its position as the standard for scaling AI systems. Investors could do well to own shares now as its growing ecosystem will result in growing sales and profits for years to come. It might just be the best stock market option for those looking to retire as millionaires.
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Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Howard Smith has positions in Microsoft, Nvidia, and Tesla. The Motley Fool has positions in and recommends Blackstone, Meta Platforms, Microsoft, Nvidia, and Tesla. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.