The report published by SimpleFX details the evolution in the cases of Microsoft, NVIDIA, and Alibaba, companies in the cloud computing sector.
Here is a report by the analysts of the SimpleFX team, the broker for trading operations in the stock sector, and traditional markets, in which it reveals the upward trend seen in the shares of computer business operators in Cloud.
Three cloud computing stocks currently on the rise
Mass gatherings stopped taking place. Besides, working from home became an increasingly common practice as time went on. Due to the coronavirus pandemic, more consumers are using cloud computing services to carry out their work.
Cloud-based solutions are growing every day to satisfy the needs of people who work remotely in coordination, conduct video conferences, watch online classes, manage a business, and even play games with their friends or online. Big data and cloud computing also play a critical role in the healthcare industry, as many professionals continue to fight COVID-19.
The high demand in the cloud computing sector led to a strong performance in equal prices within this sector. Here are two cases to consider:
Microsoft is listed as one of the key players in the infrastructure sector for cloud services, contributing an 18% market share, increasing from last year when it contributed 16%.
According to Microsoft’s CEO, by managing larger data centers, the company is ahead of several cloud service providers, with Mexico and Spain being the countries that recently joined its product line.
For the past quarter, the company posted 29% revenue from its cloud product direction, an equivalence to about $ 12.3 billion. It is estimated that it has a cash flow equivalent to USD 13.7 billion for the last quarter, which increases by 25% each year.
MSFT.US is moving above the Simple Moving Averages (SMAs) for periods of 50, 100, and 200 days since April this year. They recently detected and registered an increase of 1.16% last Thursday, touching a new maximum equivalent to USD 216; it has increased approximately 35% so far this year, with gains of 9.7% in the last week.
Computer hardware manufacturer NVIDIA also shows significant growth within the industry. This multinational company appears as the main supplier of GPU equipment for recognized providers of cloud services, which is reflected in the growth of its sales. Its data center revenue marked an increase to about USD 2.99 billion this year, leaving behind the USD 339 million capitalized back in 2016.
The Totality of the sales for this period rose by 80% compared to the previous year and exceeding USD 1.14 billion for what will be the first quarter of fiscal 2021. NVDA.US is trading at USD 415.09 at press time and is up more than 70% this 2020.
Financial assumptions and commercial recommendations are the sole responsibility of the broker. This is an informative article. It was not written to promote any of these products, so it does not endorse any of these products or endorse the reports published by SimpleFX.
By: Jenson Nuñez.