Nvidia Corporation (NASDAQ:NVDA) shares are trading higher Friday. Schneider Electric (OTC:SBGSY) announced it is collaborating with Nvidia to develop an 800 VDC sidecar capable of powering racks of up to 1.2 MW to support next-generation Nvidia GPUs and future iterations of Nvidia accelerated computing infrastructure.
What To Know: Schneider Electric strengthened its commitment to supporting the industry’s transition to 800 VDC power architectures, which are necessary for emerging high-density rack systems being adopted across next-generation data centers.
Today’s data centers use 54-volt power systems built for smaller, kilowatt-level racks. But new AI factories need much more power — on the megawatt scale — so they require scalable 800-volt systems with built-in energy storage to keep up.
The sidecar converts AC power entering the data center into 800 VDC, enabling delivery of megawatt-scale rack power safely, efficiently and with minimal material and infrastructure costs. The solution features industry-leading efficiency, modular power conversion shelves, modular energy storage for short-term backup and load smoothing, and Live Swap capability for enhanced safety.
“Scalable power architectures are the foundation for next-generation AI infrastructure that maximizes both performance and efficiency,” said Dion Harris, senior director, HPC, Cloud and AI Infrastructure Solutions GTM at Nvidia. “NVIDIA and Schneider Electric are building on our longstanding partnership to design and deliver advanced power architectures for 800 VDC systems that will run AI applications that will shape the AI industrial revolution.”
Nvidia stands out financially compared to other chipmakers. Its price-to-earnings ratio is 51.90, much lower than the industry average of 132.51, pointing to solid growth potential at a fair price.
The company also delivers a strong return on equity of 28.72%, far above the industry’s 3.69%, showing it uses investor money effectively. With $31.94 billion in EBITDA — over seven times the industry average — Nvidia shows strong profits and healthy cash flow.
With gross profit of $33.85 billion — 7.56 times above the industry average — the company demonstrates stronger profitability from core operations. Nvidia is experiencing revenue growth of 55.6%, significantly outperforming the industry average of 26.58%.
NVDA Price Action: Nvidia shares were up 1.69% at $185.24 at the time of publication on Friday. The stock is approaching its 52-week high of $195.62, according to Benzinga Pro.
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