NVIDIA CEO Jensen Huang said, “This is the beginning of a new world” thanks to artificial intelligence (AI). 1 stock to buy if he’s right
Oregon State University (OSU) this week broke ground on a new research building named after the university. nvidia CEO Jensen Huang and his wife Lori attended this school. “This is the beginning of a new world,” Huang said in a conversation with OSU President Jayathi Murthy, referencing recent advances in the field of generative AI.
Huang said that thanks to chatbots like OpenAI’s ChatGPT, “there’s essentially always a collaborator, and essentially there’s always a teacher.”
If Huang is right, and I believe he is, microsoft (MSFT 0.56%) You are already ready to reap the rewards of this groundbreaking technology.
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Fly high
Microsoft made headlines last year when it invested $13 billion in the creator of ChatGPT, but the partnership goes much deeper. Microsoft first acquired a stake in OpenAI in 2019 and has been working to perfect these digital assistants ever since. The result is Copilot, a suite of generative AI-based assistants deeply integrated into Microsoft’s most popular products.
Copilot for Microsoft 365 simplifies tasks like summarizing and drafting emails, preparing presentations, and creating charts from spreadsheet data with just a few simple commands. But that’s just the beginning.
GitHub Copilot can automate writing and debugging computer code. Copilot for Sales integrates with popular customer relationship management (CRM) platforms to gather information from first-party customer data, organize meetings, and provide summaries. Copilot for Service provides similar tools to customer service associates to gather content from a variety of resources. All controlled through the user’s simple voice or typing commands.
Microsoft is still in the process of rolling out these Copilots, so we don’t yet know how this will impact the company’s financial results. Estimates range from $25 billion to as much as $100 billion in incremental revenue per year.
The stock is currently trading at 35 times forward selling. Although it sounds high, it is an attractive valuation considering the enormous potential ahead.
Danny Vena works at Microsoft and Nvidia. The Motley Fool has positions at and recommends Microsoft and Nvidia. The Motley Fool recommends the following options: Buy Microsoft’s January 2026 $395 call and sell Microsoft’s January 2026 $405 call. The Motley Fool has a disclosure policy.
