Intel's new CEO, Patrick Gelsinger, shows confidence that Intel will retake the crown in the CPU market.
Nvidia (NASDAQ: NVDA) has been on an incredible run in recent years, growing by leaps and bounds and taking chip industry market share. The story behind the company is far more than one of a chip designer, though. In this Motley Fool Live segment from "The 5" recorded on Oct. 8, Fool.com contributors Jason Hall and Nicholas Rossolillo explain the power behind Nvidia's business model and why it commands such a high price tag compared to its peers.
Over the last five years, Nvidia's (NASDAQ: NVDA) share price has climbed more than 1,000% and had a market cap of $522 billion at the time this was written. The stellar growth in the gaming and data center segments, along with the prospects for more growth from these two businesses, explains why investors have bid the stock to a high price-to-earnings ratio of 74. For the stock to justify that valuation and reach a $1 trillion market cap, Nvidia must deliver strong growth from its two largest segments.