Selloff or Market Correction? Either Way, Here's What to Do Next!See Overvalued Stocks

NVIDIA introduces real-time CAE digital twin blueprint

Published 18/11/2024, 19:38
NVIDIA introduces real-time CAE digital twin blueprint
NVDA
-

ATLANTA - NVIDIA Corporation (NASDAQ: NASDAQ:NVDA) has unveiled a new blueprint for real-time computer-aided engineering (CAE (NYSE:CAE)) digital twins, aimed at aiding developers in various industries such as aerospace, automotive, manufacturing, and energy. The NVIDIA Omniverse™ Blueprint is designed to help software developers, including Altair, Ansys (NASDAQ:ANSS), Cadence, and Siemens (ETR:SIEGn), to enable their customers to reduce development costs, lower energy usage, and accelerate market entry.

The blueprint provides a reference workflow that incorporates NVIDIA's acceleration libraries, physics-AI frameworks, and interactive physically based rendering, which can result in simulations that are up to 1,200 times faster and offer real-time visualization. NVIDIA's CEO, Jensen Huang, emphasized that the Omniverse Blueprints are intended to connect NVIDIA Omniverse with AI technologies, allowing CAE software developers to create advanced digital twin workflows.

One of the first uses of the blueprint is for computational fluid dynamics (CFD) simulations, which are essential for virtually testing and refining designs in various products. NVIDIA, in collaboration with Luminary Cloud, showcased at SC24 a virtual wind tunnel that enables real-time simulation and visualization of fluid dynamics, even when altering the vehicle model inside the tunnel.

The Omniverse Blueprint combines NVIDIA CUDA-X™ libraries, the NVIDIA Modulus physics-AI framework, and NVIDIA Omniverse application programming interfaces to deliver both real-time physics solver performance and visualization of large-scale datasets. Developers have the flexibility to integrate the blueprint either in parts or as a whole into their existing tools.

Ansys is the first company to adopt the Omniverse Blueprint, applying it to their Ansys Fluent (NASDAQ:FLNT) fluid simulation software. This integration has allowed Ansys to complete a 2.5-billion-cell automotive simulation in just over six hours using 320 NVIDIA GH200 Grace Hopper Superchips, a task that previously would have taken nearly a month on traditional CPU cores. This breakthrough has the potential to make high-fidelity CFD analyses more feasible on an overnight basis.

Other companies like Altair, Beyond Math, Cadence, Hexagon, Neural Concept, Siemens, SimScale, and Trane Technologies (NYSE:TT) are also considering the adoption of the Omniverse Blueprint. The blueprint is compatible with major cloud platforms, including Amazon (NASDAQ:AMZN) Web Services, Google (NASDAQ:GOOGL) Cloud, Microsoft (NASDAQ:MSFT) Azure, and Oracle (NYSE:ORCL) Cloud Infrastructure, and is available on NVIDIA DGX™ Cloud.

Additionally, Rescale is utilizing the NVIDIA Omniverse Blueprint on its cloud-based platform to streamline the process for organizations to train and deploy custom AI models.

For companies interested in exploring the NVIDIA Omniverse Blueprint for real-time CAE digital twins, early access sign-up is available. This announcement is based on a press release statement from NVIDIA.

In other recent news, NVIDIA has been the subject of significant attention from various analyst firms. Bank of America reiterated a positive outlook on NVIDIA's shares, despite concerns surrounding the high power consumption of certain configurations of the company's next-generation Blackwell platform. The firm remains optimistic about NVIDIA's solid positioning for the calendar year 2025. Rosenblatt Securities, Morgan Stanley (NYSE:MS), and Evercore ISI have all maintained positive stances on NVIDIA, with Rosenblatt setting a price target of $200 and expecting a positive earnings report.

The sell-side consensus projects NVIDIA's FQ3 and FQ4 sales to reach $33.2 billion and $37 billion, respectively, with more optimistic investor expectations set higher. HSBC forecasts NVIDIA's third-quarter sales to reach $35.3 billion, surpassing both management's guidance and consensus estimates. The firm's sales forecasts for the fourth quarter of fiscal year 2025 and the first quarter of fiscal year 2026 are $38.0 billion and $42.7 billion, respectively.

In terms of product developments, NVIDIA, in collaboration with SoftBank (TYO:9984) Corp, has launched the world's first combined artificial intelligence and 5G telecommunications network, known as an artificial intelligence radio access network (AI-RAN). This development has potential applications in various sectors, including autonomous vehicles and robotics control. These are the recent developments surrounding NVIDIA.

InvestingPro Insights

NVIDIA's latest innovation in computer-aided engineering aligns well with its strong market position and financial performance. According to InvestingPro data, NVIDIA boasts a substantial market capitalization of $3.43 trillion, reflecting its dominance in the semiconductor industry. The company's impressive revenue growth of 194.69% over the last twelve months as of Q2 2025 underscores its ability to capitalize on emerging technologies like AI and digital twins.

InvestingPro Tips highlight NVIDIA's financial strength and market leadership. The company has maintained dividend payments for 13 consecutive years, demonstrating financial stability. Additionally, NVIDIA's gross profit margins are described as "impressive," which is evident in the 75.98% gross profit margin reported for the last twelve months as of Q2 2025.

The introduction of the Omniverse Blueprint could further boost NVIDIA's already strong performance. With a return on assets of 78.66% for the same period, NVIDIA shows efficient use of its resources in generating profit. This efficiency may be enhanced by the new blueprint's potential to reduce development costs and accelerate market entry for its customers.

Investors should note that NVIDIA is trading at a high earnings multiple, with a P/E ratio of 65.01. However, this could be justified by the company's strong growth prospects, as analysts anticipate sales growth in the current year. The PEG ratio of 0.16 suggests that the stock may be undervalued relative to its growth potential.

For those interested in a deeper analysis, InvestingPro offers 21 additional tips for NVIDIA, providing a comprehensive view of the company's financial health and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2024 - Fusion Media Limited. All Rights Reserved.