Akcie Nvidia v pondělí vzrostly o 3 %, protože investoři sází na silnou poptávku po AI infrastruktuře před výsledky 26. srpna. Podporují je i rostoucí investice do datacenter a pozitivní pohled analytiků.
Nvidia NVDA shares rose 3% on Monday as investors remained optimistic about the chipmaker's position at the center of the artificial intelligence infrastructure buildout, with expanding data center investments and favorable analyst views supporting sentiment ahead of its upcoming earnings report.
Recent industry reports suggest that large cloud service providers are accelerating spending on AI infrastructure, particularly on Nvidia's latest generation of liquid-cooled Blackwell systems.
The trend reflects continued demand for high-performance computing as enterprise generative AI applications move beyond pilot projects and into large-scale deployment.
Investors also assessed reports of manufacturing yield improvements that could help Nvidia ease previous supply constraints and deliver more products during the current fiscal period.
AI infrastructure spending remains the key growth driverNvidia continues to benefit from its dominant position in the AI accelerator market, with analysts pointing to sustained demand from hyperscale cloud providers and emerging enterprise workloads.
The company has also been supported by a broader improvement in the macroeconomic backdrop.
Cooling inflation data and expectations that the Federal Reserve could stabilize or eventually ease monetary policy have improved sentiment toward high-growth technology companies by making future earnings more valuable under lower discount rates.
Beyond traditional cloud customers, research firms have also highlighted growing opportunities from sovereign AI initiatives across Europe and Asia, with governments investing in domestic AI infrastructure that could expand demand for advanced computing hardware.
Despite geopolitical trade uncertainties affecting parts of the semiconductor industry, Nvidia's diversified supply chain and software ecosystem have helped insulate the company from some of the broader sector pressures.
While enthusiasm around AI spending remains strong, some market observers have cautioned that the industry's rapid infrastructure expansion is increasing financing requirements.
“Companies that were once huge cash generators are now spending so much on AI infrastructure that they have become large borrowers,” wrote Stephen Coltman, head of macro at 21shares, in a research note. “Even Nvidia, the mega cap with the largest profit margins, is seeing its credit spread widen as it is reported to be offering vendor financing and credit guarantees worth hundreds of billions to its customers.”
The comments underscore investor attention on how technology companies are funding the massive capital expenditures required to support AI infrastructure, even as demand for advanced chips remains robust.
Analysts remain bullish ahead of earningsInvestors are also looking ahead to Nvidia's earnings report scheduled for Aug. 26, which could provide another catalyst for the stock if results reinforce confidence in the company's AI-driven growth outlook.
According to FactSet, Wall Street's average price target for Nvidia stands at $314.29.
Bernstein reiterated its Buy rating on the stock with a price target of $315. Nvidia shares closed at $200.75 last Friday, implying a 56% upside from that level.
With AI infrastructure spending continuing to expand and new sources of demand emerging, investors remain focused on whether Nvidia can sustain its growth trajectory when it reports quarterly results later this month.
Nvidia dál dominuje AI infrastruktuře, ale investoři se přesouvají od růstu výdajů k monetizaci a návratnosti infrastruktury. Tržby datacentra v Q1 FY2027 dosáhly 75 miliard USD, meziročně +92 %.
SummaryNVIDIA remains dominant in AI infrastructure, with Q1 FY2027 data center revenue reaching $75 billion, up 92% year over year. Investor focus has shifted from AI spending growth toward monetization, infrastructure returns, and sustainability of elevated expectations. Leopold Aschenbrenner’s positioning highlights AI bottlenecks like power, memory, and infrastructure as potential higher-return opportunities. NVDA's valuation remains supported by growth and margins, but earnings execution, Blackwell and Rubin ramps must remain exceptional. your_photo/iStock via Getty Images
It is safe to say that Nvidia (NVDA) continues dominating in the construction of AI infrastructure, yet there has been a shift in perception of this trend from investors' side. Indeed, Nvidia still delivers
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Nvidia čeká 26. srpna klíčová výsledková aktualizace; analytici čekají, že tržby vzrostou o 96 % na 91,85 mld. USD a zisk na akcii bude 2,08 USD. Akcie letos přidaly 8 %.
Nvidia (NVDA +2.83%) is starting to get lost in the crowd. The artificial intelligence (AI) bellwether remains on top of the market cap list, but its performance lately has been underwhelming.
Nvidia ended July essentially where it started. The stock's 8% year-to-date gain and 13% increase over the past year trail the market on both counts. August offers the promise of something new: volatility. With a critical financial update now just three weeks away and a compelling valuation, Nvidia is ready to stand out from the crowd again.
Image source: Getty Images.
1. Earnings season is finally here Nvidia stock will be on the move after the market closes on Aug. 26. It isn't likely to march in place until then, as it did last month, but it will definitely move sharply higher or lower over the final few days of August.
Expectations are high. Analysts see revenue shooting 96% higher to $91.85 billion for the fiscal second quarter that ended last week. They see the bottom line following suit, with earnings per share nearly doubling to $2.08 after ringing up a profit of $1.05 per share a year earlier.
Recent history suggests that Nvidia will do slightly better than expected. It has landed 3% to 6% higher than Wall Street's profit target in each of the four previous quarterly updates. That might seem comforting at first glance, but recent history rears its ugly head again:
The four purple circles represent when Nvidia announced its quarterly results over the past year. In all four cases, the shares moved markedly lower in the aftermath. Stellar top-line growth and modest earnings beats weren't enough to impress the market. Nvidia will need more in its tank this time, and thankfully, it could make a difference that the stock conserved its energy this summer.
Take one final look at that chart. Have you noticed how each subsequent earnings report came with the stock at a higher price point than the previous update? The initial reaction was to sell, but a rally eventually bore fruit, weeks later, if not a month or two later. Things are different this time, with Nvidia trading substantially lower. A break from the pattern could be just the ticket for the stock to finally move higher -- for the first time in more than a year -- after an Nvidia earnings report.
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2. Stock chart aside, momentum is building Short-term price action can be cruel sometimes. If Nvidia comes even reasonably close to the 96% year-over-year revenue jump the market is expecting, it will be the fourth consecutive quarter of accelerating top-line growth.
Revenue has gone from a 56% step-up in last year's fiscal second quarter to increases of 63%, 73%, and 85% in its latest financial report. The cherry on top of this sundae of disconnected fundamentals is that Nvidia is doing this while it's not close to full strength. Trade restrictions remain in China, the world's second largest economy. Supply-chain constraints are keeping AI chip producers in the equivalent of an elementary school speed zone. Nvidia's competitors are bumping up against the same headwinds, but they're also gaining ground here.
Nvidia looks better than its stock chart. It's more than the sum of the earnings season slides, which it was able to claw its way out of to a higher level until this summer's sector rotation. Nvidia will be fine, and that's even more true if you have the luxury of patience to see this through.
3. Nvidia was cheap before, and it's even cheaper now Investors haven't lost money in Nvidia during the lull. There are fates worse than merely treating July like a staring contest and losing to the market over the past year despite posting double-digit returns.
The stock went on a round trip to nowhere last month, but the analysts continued to nudge their profit targets higher. Analysts now see Nvidia earning $9 a share in the current fiscal year and $12.89 a share in fiscal 2028, which starts in less than six months.
Those consensus estimates were lower a month ago and even lower the month before. Time-travel to three months ago, and Wall Street was modeling a consensus profit per share of $8.34 for fiscal 2027 and $11.23 for next year. Nvidia enters August trading at a reasonable 22 times this fiscal year's earnings and less than 16 times next year's target.
It's a good time to be a market contrarian when it comes to Nvidia. Now let's see what August has to say about things.
Barometer Capital Management Inc. grew its position in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 35.5% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 35,500 shares of the computer hardware maker’s stock after acquiring an additional 9,300 shares during the period. NVIDIA comprises 2.5% of Barometer Capital Management Inc.’s portfolio, making the stock its 13th largest holding. Barometer Capital Management Inc.’s holdings in NVIDIA were worth $6,191,000 at the end of the most recent quarter.
Other institutional investors and hedge funds have also made changes to their positions in the company. Lifetime Wealth Management P.C. purchased a new position in shares of NVIDIA during the 4th quarter worth approximately $26,000. Longview Financial Advisors Inc. acquired a new stake in shares of NVIDIA in the 1st quarter valued at approximately $27,000. Longfellow Investment Management Co. LLC boosted its stake in shares of NVIDIA by 47.9% in the second quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker’s stock valued at $33,000 after buying an additional 67 shares in the last quarter. Spurstone Advisory Services LLC purchased a new stake in shares of NVIDIA in the second quarter valued at approximately $40,000. Finally, Inspire Investing LLC acquired a new position in NVIDIA during the fourth quarter worth $44,000. 65.27% of the stock is currently owned by institutional investors and hedge funds.
Analyst Ratings Changes Several research analysts have issued reports on the company. Citigroup initiated coverage on NVIDIA in a research report on Wednesday, April 15th. They issued a “buy” rating for the company. Citic Securities boosted their target price on shares of NVIDIA from $242.00 to $315.00 and gave the stock a “buy” rating in a research report on Friday, May 22nd. Wells Fargo & Company reaffirmed an “overweight” rating and set a $315.00 price target (up from $265.00) on shares of NVIDIA in a research note on Tuesday, May 12th. Wolfe Research restated an “outperform” rating and set a $275.00 target price on shares of NVIDIA in a research report on Thursday, May 21st. Finally, Susquehanna reaffirmed a “positive” rating and issued a $275.00 target price (up from $250.00) on shares of NVIDIA in a report on Tuesday, May 12th. Three research analysts have rated the stock with a Strong Buy rating, forty-eight have given a Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Buy” and a consensus price target of $304.26.
Check Out Our Latest Stock Analysis on NVIDIA
NVIDIA Stock Performance NASDAQ:NVDA opened at $200.75 on Monday. The company has a current ratio of 3.44, a quick ratio of 2.85 and a debt-to-equity ratio of 0.04. The company has a market capitalization of $4.86 trillion, a P/E ratio of 30.74, a price-to-earnings-growth ratio of 0.39 and a beta of 2.23. The firm has a 50-day moving average price of $205.41 and a two-hundred day moving average price of $196.20. NVIDIA Corporation has a twelve month low of $164.07 and a twelve month high of $236.54.
NVIDIA (NASDAQ:NVDA – Get Free Report) last announced its quarterly earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.76 by $0.11. The company had revenue of $81.61 billion for the quarter, compared to the consensus estimate of $78.42 billion. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The company’s revenue for the quarter was up 85.2% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.81 earnings per share. As a group, research analysts expect that NVIDIA Corporation will post 8.79 earnings per share for the current fiscal year.
NVIDIA Increases Dividend The business also recently disclosed a quarterly dividend, which was paid on Friday, June 26th. Investors of record on Thursday, June 4th were given a dividend of $0.25 per share. The ex-dividend date was Thursday, June 4th. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. This is an increase from NVIDIA’s previous quarterly dividend of $0.01. NVIDIA’s payout ratio is presently 15.31%.
NVIDIA declared that its Board of Directors has authorized a stock repurchase plan on Wednesday, May 20th that permits the company to repurchase $80.00 billion in shares. This repurchase authorization permits the computer hardware maker to buy up to 1.5% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s management believes its stock is undervalued.
Key Stories Impacting NVIDIA Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: Amazon supports demand outlook: Amazon raised its capital-expenditure forecast and downplayed competition between its custom AI chips and NVIDIA’s processors. The update reassured investors that hyperscaler spending remains a significant growth driver for NVIDIA. Nvidia Stock Rises. Thank Amazon. Positive Sentiment: Additional large-scale chip demand: Chinese AI company Moonshot reportedly has an Alibaba computing agreement involving approximately 20,000 NVIDIA chips. Although the arrangement is indirect, it highlights continued demand for NVIDIA’s accelerators across AI platforms. Moonshot has Nvidia chip cluster from Alibaba computing deal Positive Sentiment: Sector-wide investor support: Semiconductor ETFs attracted substantial new money as chip stocks rallied following strong technology earnings, providing a favorable backdrop for NVIDIA. Analysts also remain broadly bullish, with reported median price targets well above the current trading level and positive earnings-estimate revisions. Semiconductor ETFs Draw Cash This Week as Chip Stocks Rally Neutral Sentiment: Upcoming earnings catalyst: NVIDIA will report fiscal second-quarter 2027 results on August 26. Investors will focus on revenue growth, forward guidance and whether hyperscaler AI spending is translating into sustained orders. The company’s latest reported quarter showed $81.6 billion in revenue, up 85% year over year, and earnings above consensus. Negative Sentiment: Financing concerns remain: Investors continue to debate whether AI infrastructure expansion relies too heavily on leveraged or “circular” financing arrangements. Credit-market hedging activity and discussion of a potential financing backstop tied to an OpenAI data-center project could limit valuation expansion. NVIDIA Stock Is Still Up, But $250 Billion AI Risk Has Spooked The Debt Market Negative Sentiment: Bearish positioning and selling: Investor Michael Burry reportedly expanded bearish bets against NVIDIA, while recent insider and institutional selling adds a secondary source of caution. These transactions do not necessarily indicate deteriorating fundamentals but may contribute to volatility. Insider Activity at NVIDIA In other NVIDIA news, Director Mark A. Stevens sold 885,000 shares of the stock in a transaction on Thursday, June 18th. The stock was sold at an average price of $210.17, for a total transaction of $186,000,450.00. Following the sale, the director owned 5,207,271 shares in the company, valued at approximately $1,094,412,146.07. This represents a 14.53% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Stephen C. Neal sold 15,500 shares of the firm’s stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $215.73, for a total value of $3,343,815.00. Following the transaction, the director directly owned 116,135 shares of the company’s stock, valued at $25,053,803.55. The trade was a 11.77% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 1,901,125 shares of company stock valued at $410,583,015. 3.94% of the stock is owned by corporate insiders.
About NVIDIA (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
Recommended Stories Five stocks we like better than NVIDIA 3 Fixed-Income ETFs Show Why Yield Is Only Part of the Income Story AbbVie Quietly Solved Its Biggest Problem—Now What? Rio Tinto’s Results Make the Case for Looking Beyond Tech in the AI Trade Strategy’s Structural Strength: Hidden in a $8 Billion Illusion Want to see what other hedge funds are holding NVDA? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for NVIDIA Corporation (NASDAQ:NVDA – Free Report).
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Bellwether Advisors LLC lowered its stake in shares of NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 52.7% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 18,019 shares of the computer hardware maker’s stock after selling 20,057 shares during the period. Bellwether Advisors LLC’s holdings in NVIDIA were worth $3,143,000 as of its most recent filing with the Securities and Exchange Commission (SEC).
Other hedge funds have also recently modified their holdings of the company. Lifetime Wealth Management P.C. bought a new stake in NVIDIA in the 4th quarter worth approximately $26,000. Longview Financial Advisors Inc. purchased a new position in shares of NVIDIA in the first quarter valued at $27,000. Longfellow Investment Management Co. LLC grew its holdings in shares of NVIDIA by 47.9% in the second quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker’s stock valued at $33,000 after purchasing an additional 67 shares in the last quarter. Spurstone Advisory Services LLC bought a new stake in NVIDIA in the second quarter worth $40,000. Finally, Inspire Investing LLC purchased a new stake in NVIDIA during the fourth quarter valued at $44,000. Hedge funds and other institutional investors own 65.27% of the company’s stock.
Analyst Upgrades and Downgrades A number of equities analysts have commented on the stock. JPMorgan Chase & Co. lifted their price objective on shares of NVIDIA from $265.00 to $280.00 and gave the stock an “overweight” rating in a research note on Thursday, May 21st. Raymond James Financial restated a “strong-buy” rating and set a $330.00 target price on shares of NVIDIA in a research report on Thursday, May 21st. BNP Paribas Exane increased their price target on shares of NVIDIA from $270.00 to $285.00 and gave the company an “outperform” rating in a report on Thursday, May 21st. Daiwa Securities Group boosted their price objective on NVIDIA from $215.00 to $255.00 and gave the stock an “outperform” rating in a research note on Friday, May 22nd. Finally, Seaport Research Partners upped their price objective on NVIDIA from $140.00 to $180.00 and gave the company a “sell” rating in a research report on Thursday, May 21st. Three investment analysts have rated the stock with a Strong Buy rating, forty-eight have given a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, NVIDIA has a consensus rating of “Buy” and an average target price of $304.26.
View Our Latest Research Report on NVDA
NVIDIA Stock Performance Shares of NASDAQ NVDA opened at $200.75 on Monday. NVIDIA Corporation has a fifty-two week low of $164.07 and a fifty-two week high of $236.54. The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.85 and a current ratio of 3.44. The company has a market cap of $4.86 trillion, a price-to-earnings ratio of 30.74, a PEG ratio of 0.39 and a beta of 2.23. The business’s 50 day moving average price is $205.41 and its 200-day moving average price is $196.20.
NVIDIA (NASDAQ:NVDA – Get Free Report) last announced its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, beating the consensus estimate of $1.76 by $0.11. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The company had revenue of $81.61 billion for the quarter, compared to the consensus estimate of $78.42 billion. During the same quarter in the prior year, the company posted $0.81 EPS. NVIDIA’s quarterly revenue was up 85.2% on a year-over-year basis. On average, sell-side analysts expect that NVIDIA Corporation will post 8.79 earnings per share for the current year.
NVIDIA Increases Dividend The business also recently declared a quarterly dividend, which was paid on Friday, June 26th. Investors of record on Thursday, June 4th were paid a $0.25 dividend. The ex-dividend date of this dividend was Thursday, June 4th. This represents a $1.00 annualized dividend and a yield of 0.5%. This is a boost from NVIDIA’s previous quarterly dividend of $0.01. NVIDIA’s payout ratio is 15.31%.
NVIDIA declared that its board has initiated a share repurchase program on Wednesday, May 20th that permits the company to buyback $80.00 billion in outstanding shares. This buyback authorization permits the computer hardware maker to reacquire up to 1.5% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s management believes its shares are undervalued.
Insider Buying and Selling In other news, Director John Dabiri sold 625 shares of the firm’s stock in a transaction that occurred on Wednesday, May 27th. The shares were sold at an average price of $214.00, for a total transaction of $133,750.00. Following the transaction, the director directly owned 14,163 shares of the company’s stock, valued at approximately $3,030,882. This trade represents a 4.23% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark A. Stevens sold 885,000 shares of the business’s stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $210.17, for a total value of $186,000,450.00. Following the completion of the sale, the director owned 5,207,271 shares of the company’s stock, valued at $1,094,412,146.07. The trade was a 14.53% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 1,901,125 shares of company stock valued at $410,583,015 in the last 90 days. Company insiders own 3.94% of the company’s stock.
More NVIDIA News Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: Amazon supports demand outlook: Amazon raised its capital-expenditure forecast and downplayed competition between its custom AI chips and NVIDIA’s processors. The update reassured investors that hyperscaler spending remains a significant growth driver for NVIDIA. Nvidia Stock Rises. Thank Amazon. Positive Sentiment: Additional large-scale chip demand: Chinese AI company Moonshot reportedly has an Alibaba computing agreement involving approximately 20,000 NVIDIA chips. Although the arrangement is indirect, it highlights continued demand for NVIDIA’s accelerators across AI platforms. Moonshot has Nvidia chip cluster from Alibaba computing deal Positive Sentiment: Sector-wide investor support: Semiconductor ETFs attracted substantial new money as chip stocks rallied following strong technology earnings, providing a favorable backdrop for NVIDIA. Analysts also remain broadly bullish, with reported median price targets well above the current trading level and positive earnings-estimate revisions. Semiconductor ETFs Draw Cash This Week as Chip Stocks Rally Neutral Sentiment: Upcoming earnings catalyst: NVIDIA will report fiscal second-quarter 2027 results on August 26. Investors will focus on revenue growth, forward guidance and whether hyperscaler AI spending is translating into sustained orders. The company’s latest reported quarter showed $81.6 billion in revenue, up 85% year over year, and earnings above consensus. Negative Sentiment: Financing concerns remain: Investors continue to debate whether AI infrastructure expansion relies too heavily on leveraged or “circular” financing arrangements. Credit-market hedging activity and discussion of a potential financing backstop tied to an OpenAI data-center project could limit valuation expansion. NVIDIA Stock Is Still Up, But $250 Billion AI Risk Has Spooked The Debt Market Negative Sentiment: Bearish positioning and selling: Investor Michael Burry reportedly expanded bearish bets against NVIDIA, while recent insider and institutional selling adds a secondary source of caution. These transactions do not necessarily indicate deteriorating fundamentals but may contribute to volatility. About NVIDIA (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
Featured Articles Five stocks we like better than NVIDIA 3 Fixed-Income ETFs Show Why Yield Is Only Part of the Income Story AbbVie Quietly Solved Its Biggest Problem—Now What? Rio Tinto’s Results Make the Case for Looking Beyond Tech in the AI Trade Strategy’s Structural Strength: Hidden in a $8 Billion Illusion
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CacheTech Inc. boosted its holdings in shares of NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 10.7% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 51,649 shares of the computer hardware maker’s stock after purchasing an additional 5,009 shares during the quarter. NVIDIA comprises 1.7% of CacheTech Inc.’s portfolio, making the stock its 14th biggest holding. CacheTech Inc.’s holdings in NVIDIA were worth $9,008,000 as of its most recent SEC filing.
Other large investors also recently added to or reduced their stakes in the company. Lifetime Wealth Management P.C. bought a new position in shares of NVIDIA during the 4th quarter valued at about $26,000. Longview Financial Advisors Inc. purchased a new position in shares of NVIDIA during the first quarter valued at about $27,000. Longfellow Investment Management Co. LLC increased its holdings in shares of NVIDIA by 47.9% in the second quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker’s stock worth $33,000 after purchasing an additional 67 shares during the last quarter. Spurstone Advisory Services LLC purchased a new stake in shares of NVIDIA in the second quarter worth about $40,000. Finally, Inspire Investing LLC purchased a new stake in shares of NVIDIA in the fourth quarter worth about $44,000. 65.27% of the stock is owned by hedge funds and other institutional investors.
Wall Street Analyst Weigh In Several equities analysts have weighed in on NVDA shares. New Street Research cut their price target on NVIDIA from $343.00 to $340.00 in a report on Thursday, May 21st. Wells Fargo & Company reiterated an “overweight” rating and set a $315.00 target price (up from $265.00) on shares of NVIDIA in a research report on Tuesday, May 12th. Jefferies Financial Group reissued a “buy” rating and issued a $300.00 target price (up from $275.00) on shares of NVIDIA in a report on Thursday, May 21st. China Renaissance began coverage on shares of NVIDIA in a research report on Friday, June 5th. They issued a “buy” rating and a $319.00 price target on the stock. Finally, Rothschild & Co Redburn upped their price target on shares of NVIDIA from $280.00 to $300.00 and gave the company a “buy” rating in a research note on Tuesday, May 26th. Three analysts have rated the stock with a Strong Buy rating, forty-eight have given a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Buy” and a consensus target price of $304.26.
View Our Latest Stock Report on NVDA
NVIDIA Price Performance NVIDIA stock opened at $200.75 on Monday. NVIDIA Corporation has a 12-month low of $164.07 and a 12-month high of $236.54. The company has a current ratio of 3.44, a quick ratio of 2.85 and a debt-to-equity ratio of 0.04. The firm has a 50-day moving average price of $205.41 and a 200-day moving average price of $196.20. The firm has a market capitalization of $4.86 trillion, a PE ratio of 30.74, a price-to-earnings-growth ratio of 0.39 and a beta of 2.23.
NVIDIA (NASDAQ:NVDA – Get Free Report) last issued its quarterly earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, beating the consensus estimate of $1.76 by $0.11. The company had revenue of $81.61 billion for the quarter, compared to the consensus estimate of $78.42 billion. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The firm’s revenue was up 85.2% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.81 EPS. As a group, equities research analysts forecast that NVIDIA Corporation will post 8.79 EPS for the current year.
NVIDIA Increases Dividend The firm also recently declared a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Thursday, June 4th were issued a $0.25 dividend. The ex-dividend date was Thursday, June 4th. This is a positive change from NVIDIA’s previous quarterly dividend of $0.01. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. NVIDIA’s dividend payout ratio (DPR) is currently 15.31%.
NVIDIA announced that its board has initiated a stock repurchase plan on Wednesday, May 20th that authorizes the company to repurchase $80.00 billion in shares. This repurchase authorization authorizes the computer hardware maker to repurchase up to 1.5% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s board of directors believes its shares are undervalued.
Insider Transactions at NVIDIA In other NVIDIA news, Director John Dabiri sold 625 shares of the stock in a transaction on Wednesday, May 27th. The stock was sold at an average price of $214.00, for a total value of $133,750.00. Following the sale, the director owned 14,163 shares in the company, valued at $3,030,882. This trade represents a 4.23% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Stephen C. Neal sold 15,500 shares of NVIDIA stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $215.73, for a total value of $3,343,815.00. Following the sale, the director owned 116,135 shares of the company’s stock, valued at approximately $25,053,803.55. This trade represents a 11.77% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 1,901,125 shares of company stock worth $410,583,015. 3.94% of the stock is currently owned by company insiders.
Key NVIDIA News Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: Amazon supports demand outlook: Amazon raised its capital-expenditure forecast and downplayed competition between its custom AI chips and NVIDIA’s processors. The update reassured investors that hyperscaler spending remains a significant growth driver for NVIDIA. Nvidia Stock Rises. Thank Amazon. Positive Sentiment: Additional large-scale chip demand: Chinese AI company Moonshot reportedly has an Alibaba computing agreement involving approximately 20,000 NVIDIA chips. Although the arrangement is indirect, it highlights continued demand for NVIDIA’s accelerators across AI platforms. Moonshot has Nvidia chip cluster from Alibaba computing deal Positive Sentiment: Sector-wide investor support: Semiconductor ETFs attracted substantial new money as chip stocks rallied following strong technology earnings, providing a favorable backdrop for NVIDIA. Analysts also remain broadly bullish, with reported median price targets well above the current trading level and positive earnings-estimate revisions. Semiconductor ETFs Draw Cash This Week as Chip Stocks Rally Neutral Sentiment: Upcoming earnings catalyst: NVIDIA will report fiscal second-quarter 2027 results on August 26. Investors will focus on revenue growth, forward guidance and whether hyperscaler AI spending is translating into sustained orders. The company’s latest reported quarter showed $81.6 billion in revenue, up 85% year over year, and earnings above consensus. Negative Sentiment: Financing concerns remain: Investors continue to debate whether AI infrastructure expansion relies too heavily on leveraged or “circular” financing arrangements. Credit-market hedging activity and discussion of a potential financing backstop tied to an OpenAI data-center project could limit valuation expansion. NVIDIA Stock Is Still Up, But $250 Billion AI Risk Has Spooked The Debt Market Negative Sentiment: Bearish positioning and selling: Investor Michael Burry reportedly expanded bearish bets against NVIDIA, while recent insider and institutional selling adds a secondary source of caution. These transactions do not necessarily indicate deteriorating fundamentals but may contribute to volatility. About NVIDIA (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
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Nvidia čelí rostoucímu tlaku na CUDA, protože AI nástroje a konkurence mohou její software snáze napodobit. Firma ale tvrdí, že její plně integrovaný hardware a software zůstává silnou výhodou.
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Nvidia founder and CEO Jensen Huang. Bloomberg/Getty Images Nvidia's biggest competitive advantage is no longer as untouchable as it once seemed.
For two decades, Nvidia's crown jewel wasn't just chips; it was the software that turned them into the building blocks of AI, known as CUDA.
Short for Compute Unified Device Architecture, CUDA is the brainchild of longtime Nvidia executive Ian Buck, who heads high-performance computing. It took years to build, with ready-made code for common AI tasks, tools to find bugs, and software that lets thousands of chips work together to train models.
Now, some believe AI could eventually automate one of the industry's hardest jobs: building the software that powers AI itself.
The industry is at an important threshold, says Jeremy Nixon, a former Google Brain researcher and the founder of AI software startup Infinity. He told Business Insider his startup used AI coding agents to recreate CUDA-like software for the chip startup D-Matrix in 10 hours — evidence, he said, that one of Nvidia's biggest moats is being crossed.
Infinity founder and CEO Jeremy Nixon. Infinity.inc The pressure doesn't only come from startups. Cloud giants like Google, Amazon, and Microsoft have spent years building software around their own AI chips, while OpenAI and Anthropic have recently demonstrated AI models capable of generating system software.
DeepSeek founder Liang Wenfeng recently said that coding agents, along with his startup's own programming language TileLang, have made AI software substantially easier to build.
Coding agents aren't just helping challengers.
Nvidia said developers increasingly use CUDA's code libraries to build AI applications, and that it also "uses AI coding agents to develop CUDA faster and validate at greater scale," said Ankit Patel, Nvidia's vice president of developer ecosystem.
Inference could change the CUDA equationIf CUDA's first advantage was software, the second is everything built on top of it. Millions of lines of code and internal workflows have been developed by companies, creating a powerful lock-in effect that makes switching to alternatives costly and cumbersome.
Internal documents at Amazon identified CUDA as a major roadblock to adoption of its Trainium and Inferentia AI chips, Business Insider previously reported.
CUDA's age is both an advantage and a constraint, said Chris Lattner, cofounder and CEO of Qualcomm-owned AI software startup Modular. Originally built for gaming long before the AI boom, CUDA carries layers of legacy technology, "like Microsoft Windows trying to fit onto a phone," he said.
Modular cofounder and CEO Chris Lattner. Modular Others say AI's shift from training toward inference — where models answer requests and draw conclusions — creates another threat.
With this evolution, companies care less about maximizing performance with the most powerful chips and more about running AI profitably, said Marshall Choy, chief business officer of Korean AI chip startup Rebellions.
This could result in greater demand not only for specialized hardware but for software that can run across different chips. If companies can switch between chips without rewriting software, that reduces one of CUDA's biggest lock-ins.
"That's where the CUDA moat from Nvidia gets broken because CUDA is no longer a factor in the inference side," Choy said. "It's an open source play."
Nvidia said that its tightly integrated hardware and software offerings have become more valuable as AI models get put to work.
"As AI shifts toward inference and agentic workloads, the need for deep, full-stack optimization only grows," Patel said.
A shift toward specialized chips and software has Wall Street increasingly questioning Nvidia's CUDA advantage, said Luke Lango, chief technology analyst at InvestorPlace. He said Nvidia's stagnant stock price over the past year reflects some of these concerns.
Nvidia's moat isn't disappearing — it's shiftingNot everyone agrees that coding agents are eroding CUDA's edge. Some believe they could ultimately strengthen it instead.
Though agents make it easier to generate software, AI-generated code still has to be verified and optimized, said Bing Xu, founder of AI software startup INT21. He believes CUDA has the deepest ecosystem of verification tools and other features that help coding agents work more efficiently.
As agents become more common, he said, that ecosystem will become CUDA's next moat.
"Agents can generate a lot of code in a short time, but verification is the biggest bottleneck," said Xu, whose last AI chip software startup, HippoML, was acquired by Nvidia. He left the chipmaker in April to build INT21.
INT21 founder and CEO Bing Xu. INT21 While coding agents do make it easier to build chip software, the improvement is incremental, Lattner said.
"The hype is not complete nonsense, but it is very overblown," he said, adding that writing code is only a small part of building software compared to more complex tasks like optimizing it for production — a critical task because software that maximizes a chip's performance reduces the cost of running AI at scale.
Chip software is also something of a niche field, often worked on by elite engineers, Lattner said, giving coding agents far fewer examples to learn from than, for instance, app development, where AI has been trained on vast amounts of public code.
And while AI may help rivals catch up, Nvidia benefits from the same technological shifts, Xu said. Whether coding agents weaken CUDA depends on whether competitors catch Nvidia faster than it can gain new ground.
The world's dominant chipmaker is "not sleeping or keeping still," Xu said.
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Geoff Weiss You're currently following this author! Want to unfollow? Unsubscribe via the link in your email.
Geoff Weiss is a senior reporter on Business Insider’s tech team, where he writes about AI startups and Y Combinator, the intersection of AI and the media industry, and workplace dynamics within top AI labs and chip companies.Previously, Geoff was on the media desk, covering YouTube and Netflix, and themes like the intersection of Hollywood and the creator economy. His work on Netflix’s video podcasting ambitions and Mr Beast’s lessons for Hollywood won second and first prize, respectively, at the 2025 LA Press Club Awards.Prior to joining Business Insider, Geoff was the senior editor of Tubefilter and a staff writer at Entrepreneur. He graduated from New York University with a degree in English Literature.He can be reached at [email protected], on Signal @geoffweiss.25, and on LinkedIn. Have a tip? Use a personal email address and a nonwork device; here's our guide to sharing information securely.Selected stories:Nvidia crushed its quarter — and CEO Jensen Huang said in a leaked all-hands that 'the market did not appreciate it'Nvidia will foot the bill for Trump's new visa fees. Here's what CEO Jensen Huang told staff.Massive AI salaries and RTO are fueling a real estate boom in San Francisco: 'It's going to rain money'The AI talent wars are ricocheting across startups. Here's how they're competing with Big Tech.
Nvidia se připojila k nové AI Materials Foundry od CuspAI, která má urychlit objevování materiálů pro polovodiče a další technologie. Firma zatím neoznámila žádné očekávané tržby ani závazek k nákupu.
Nvidia stock NASDAQ:NVDA closed at $200.75 on Friday, rising 2.9% as strong cloud results from Microsoft and Amazon revived confidence in artificial-intelligence infrastructure spending.
Yet another, less visible part of the chipmaker’s growth strategy is emerging far from the data centres that dominate Wall Street’s attention.
Nvidia has joined CuspAI’s new AI Materials Foundry, a global network seeking to combine generative AI, accelerated simulations, scientific data and laboratory testing to discover materials for semiconductors, energy and advanced manufacturing.
The initiative is unlikely to change Nvidia’s earnings soon, but could extend the company’s reach into the scientific tools used to design the physical foundations of future technology.
CuspAI launched the foundry alongside a $450 million Series B fundraising that valued the Cambridge-based company at $2.6 billion.
More than 45 founding partners include Nvidia, Meta, Samsung Electronics, Applied Materials, Hyundai Motor Group, Tokyo Electron and Lam Research.
The group aims to shorten a materials-development process that can take years.
CuspAI’s approach covers generating candidate materials, simulating their properties, planning synthesis, validating results in laboratories and eventually preparing successful compounds for production.
Nvidia’s role is strategically important because those simulations demand substantial computing power.
Its ALCHEMI platform provides GPU-accelerated microservices and software tools for chemistry and materials research.
Nvidia says its batched geometry-relaxation technology can accelerate certain material-stability simulations by as much as 100 times.
The immediate stock argument is not that CuspAI will suddenly become a major customer. No expected revenue or purchase commitment from the partnership has been announced.
The opportunity is that materials discovery could become another specialised workload tied to Nvidia processors, CUDA-X software and cloud infrastructure.
Wall Street’s Nvidia thesis remains firmly elsewhereAnalysts’ bullish Nvidia calls still rest on established strengths rather than the materials alliance.
Bank of America analyst Vivek Arya said investors were overlooking an “enhanced” buying opportunity.
Arya argued that concerns about rising memory costs and competition from custom chips underestimated Nvidia’s pricing power, scale and supply-chain commitments.
KeyBanc analyst John Vinh raised his price target to $330 from $310 and maintained an Outperform rating. His confidence reflects the competitive barriers created by Nvidia’s hardware and CUDA software ecosystem.
ALCHEMI fits that broader logic as each specialist workload added to the platform may make Nvidia harder to replace.
Bernstein analyst Stacy Rasgon also maintained a Buy rating and $315 target despite concerns about Nvidia’s increasingly interconnected AI deals.
Also read: Nvidia, Alphabet among 5 stocks that fit Jim Cramer’s favourite dip-buying rule
AI-generated materials must still survive physical testing, regulatory reviews and mass-production requirements.
Moving from a promising simulation to a commercially useful semiconductor material could take years, and many candidates will fail.
There is also a broader risk as scientific computing will matter less to Nvidia shares if spending by its largest customers slows.
Jim Paulsen warned that flat or declining US core capital spending could force a “major readjustment” among investors committed to the AI-spending story, Business Insider reported.
Microsoft and Amazon offered a more encouraging signal as their latest cloud growth showed that heavy AI investment is producing revenue, supporting continued infrastructure demand.
NVIDIA vykázala tržby ve výši 81,615 miliardy USD, což představuje meziroční růst o 85,23 %, a datacentrový segment vzrostl o 92 % na 75,25 miliardy USD. Alphabet měl tržby 119,80 miliardy USD, o 24,2 % více, a Google Cloud vyskočil o 82 % na 24,77 miliardy USD.
NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) and Alphabet (NASDAQ:GOOG) both reported quarters that reshape how investors should think about AI leadership.
NVIDIA delivered $81.615 billion in revenue, up 85.23%. Alphabet pulled in $119.80 billion, up 24.2%. Same tailwind, very different business models, and the results expose the split.
Data Center Explodes for NVIDIA. Cloud Accelerates for Alphabet. NVIDIA’s Data Center segment hit $75.25 billion, up 92%, with networking alone growing 199% on InfiniBand, NVLink, and Spectrum-X demand.
Jensen Huang framed it plainly: “The buildout of AI factories, the largest infrastructure expansion in human history, is accelerating at extraordinary speed.” Guidance for Q2 lands at $91 billion, and notably excludes any China Data Center compute revenue.
Alphabet’s headline was Google Cloud reaching $24.77 billion, growing 82%. Sundar Pichai emphasized adoption: “Nearly 90% of the Fortune 100 using it” referring to Gemini Enterprise, while Gemini models process 22 billion API tokens per minute. Search advertising still funds the whole machine at $63.27 billion, up 17%.
Picks and Shovels vs. Full Vertical Stack NVIDIA sells the compute. Alphabet builds on it, and also buys it. Pichai even said Google Cloud will be “among the first to offer NVIDIA Vera Rubin NVL72”, which makes GOOG both a customer and a competitor thanks to its own TPUs. That vertical integration is the pitch: “We’re unique in the market because of our vertically optimized AI stack.”
Don't wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now.
Business Driver NVIDIA Alphabet Main Growth Engine Data Center chips and networking Cloud plus AI-enhanced Search Operating Margin 60.4% 32.1% YoY Revenue Growth 85.23% 24.2% NVIDIA hiked its dividend from $0.01 to $0.25 and authorized $80 billion in buybacks. Alphabet went the other direction, suspending buybacks and raising roughly $70 billion in debt and equity to fund a capex plan now guided to $180-190 billion for 2026. Free cash flow at GOOG turned negative at -$5.86 billion. That is the cost of racing to own the stack.
What I’m Watching Into the Back Half of 2026 For NVIDIA, I want to see whether the Blackwell 300 ramp and Vera Rubin roadmap can offset a shut-out China market. Total supply commitments already sit at $119 billion, which signals confidence but locks in execution risk. Post-earnings price behavior has been mixed too. Shares closed at $200.75, up just 13.01% over a year, well below Alphabet’s 85.46% one-year gain.
For Alphabet, the question is whether cloud backlog and Gemini monetization scale fast enough to justify depreciation from that capex surge. Long-term debt already jumped from $46.5 billion to $98.2 billion. That is a lot of leverage on a bet that AI infrastructure returns hold up.
Why I’d Own Both, but for Different Reasons NVIDIA offers the purest exposure to the AI infrastructure cycle. The margins are extraordinary at 75% non-GAAP gross, and the P/E of 41x is defensible against 85% revenue growth. If China ever reopens, that becomes upside on top of the current thesis.
Alphabet fits me better as a compounder. A P/E near 15 for a business growing revenue in the mid-20s with an accelerating cloud engine feels like the more forgiving setup. If capex fatigue hits AI names later this year, GOOG’s ad cash flows offer a cushion NVIDIA does not have. Both names carry real risk, and position sizing should track how much AI capex volatility an investor can absorb.
Don't wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now.
Investors have long been bullish on Nvidia (NVDA +2.93%) for many reasons, but one that may not get a lot of direct attention is its backlog. Amid the massive demand for its AI accelerators, it accumulated a backlog of $500 billion in combined bookings for 2025 and 2026. Also, when CEO Jensen Huang was in Seoul in June, he stated that we are at the beginning of the AI boom, even as Nvidia stock has made massive gains over the last four years.
However, semiconductor stocks, including the chip giant, have pulled back in recent trading sessions as concerns about high capital expenditures (capex) and circular financing have given investors pause. Despite those concerns, investors should consider using this pullback to add shares. Here's why.
Image source: The Motley Fool.
The state of Nvidia Admittedly, the uncertainty surrounding Nvidia is understandable. The estimated $725 billion in planned capex by hyperscalers could raise doubts about access to credit. Moreover, Nvidia is an investor in many of its customers, leading to questions about whether the $500 billion is a true reflection of the backlog.
Nonetheless, other factors cast doubt as to whether Nvidia is really in trouble. Huang added that investors should be "very happy" since they can "buy at a discount." He appears to have a point. Its stock sells at a P/E ratio of 30, barely above the S&P 500 average of 29.
Despite that valuation and Huang's assertion about the AI boom, Nvidia is not trading at a premium. In the first quarter of fiscal 2027 (ended April 26), its revenue of $81.6 billion rose by 85% from year-ago levels. That led to $58.3 billion in net income, a 211% annual increase. Also, since revenue surged 65% higher in fiscal 2026, its quarterly growth is more than a one-time event.
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Considering Nvidia's growth rate, it likely does not need to artificially inflate its growth. Additionally, the "circular financing" is a reflection of its AI needs.
For example, it is an investor in the neocloud company CoreWeave, which is also a customer. In a technical sense, Nvidia does not "need" CoreWeave to grow.
Still, CoreWeave gives Nvidia a platform where it can more quickly deploy and test its hardware. Also, since the neocloud industry is new, the leading companies do not have the backing to scale quickly on their own.
With Nvidia's support, they can build faster, facilitating faster adoption of its technology. This means that such investments could pay off for Nvidia longer-term and, ultimately, ease the concerns of investors.
Moving forward with Nvidia Despite doubts, Nvidia's backlog is a reason to buy its stock.
Indeed, concerns about credit accessibility could slow growth and discourage some investors from buying its stock. Also, its so-called "circular financing" makes it look like Nvidia has to buy its growth.
However, the stock's P/E ratio seems to confirm that it sells at a discount. Also, it appears investments like its position in CoreWeave contribute to the improvement and rapid deployment of its hardware.
Thus, despite the concerns, investors should continue to believe in Nvidia's growth. Considering its comparatively low P/E ratio, investors have good reason to look past the uncertainty and take a position in the chip stock.
Alphabet klesl po zvýšení výhledu kapitálových výdajů na rok 2026 na 195 až 205 miliard USD, i když tržby Google Cloud vyskočily o 82 % na 24,8 miliardy USD.
Jim Cramer’s favourite dip-buying rule starts with a margin decline, but it does not end there.
Investors must decide whether profits are temporarily compressed by investment or permanently damaged by weak demand and competition.
Meta Platforms, Alphabet and SoFi are the clearest tests after their shares were punished by spending increases or cautious guidance.
Intel illustrates how the market can reward a recovery, while Nvidia is a corrected leader rather than a beaten-down stock.
These five companies fit the framework based on Cramer’s framework, but he did not individually recommend them as a group.
Meta stock fell 9.5% after second-quarter results as investors focused on a 91% collapse in free cash flow to $784 million and capital expenditure approaching $145 billion this year.
Yet advertising revenue rose 27% to $59.36 billion, showing that the core business remains healthy.
Deutsche Bank analyst Benjamin Black maintained a Buy rating and an $800 target before the results.
Business Insider reported that Black believed Meta’s discount failed to reflect the durability of advertising and monetisation from AI, subscriptions, business agents and cloud infrastructure.
The opportunity fits Cramer’s rule, but only if Meta turns computing investment into measurable revenue.
Alphabet dropped after raising its 2026 capital-spending forecast to $195 billion-$205 billion, even as Google Cloud revenue surged 82% to $24.8 billion.
The company also recorded negative free cash flow of $5.9 billion.
Wedbush analyst Ygal Arounian wrote in a note cited by Barron’s that investment was scaling because “compute remains constrained” and demand remained strong.
That supports the argument that Alphabet is spending to serve customers rather than defend a shrinking business.
However, depreciation and infrastructure costs must eventually be matched by sustainable cloud profits, making the stock vulnerable if growth slows before spending peaks.
SoFi fell 9% despite beating earnings and revenue expectations, as investors concentrated on cautious second-half guidance and a 23% decline in technology-platform revenue.
William Blair analyst Andrew Jeffrey retained an Outperform rating and encouraged investors to buy the weakness.
He argued that expanding originations and retaining more loans could support stronger returns.
KBW analyst Tim Switzer offered the warning, calling the result a “lower-quality beat” because growth relied heavily on SoFi’s balance sheet.
SoFi is the most traditional dip candidate here, but its recovery requires better platform growth and disciplined credit performance.
Intel is not beaten down, with its shares having rallied in 2026. It instead demonstrates what can happen when a margin-recovery thesis gains credibility.
Morningstar analyst Brian Colello raised his fair-value estimate to $105 from $90 after what he called a “stunning rise in server CPU demand”.
AI data centres still require conventional processors alongside accelerators, supporting Intel’s server business.
The risks remain substantial as foundry investment, manufacturing execution and competition from AMD, Arm-based designs and Nvidia.
Investors applying Cramer’s rule today would need another pullback rather than chasing a recovery already reflected in the price.
Nvidia’s recent correction revived the argument that temporary fear can create an entry into a dominant company.
Concerns centre on hyperscaler cash flow, investments in customers and whether interconnected AI financing is supporting demand.
Bernstein analyst Stacy Rasgon maintained a Buy rating and a $315 target in July, implying upside from the price at the time.
Nvidia remains the highest-quality business in this framework but the least conventionally beaten down.
Its test is whether spending by cloud companies reflects durable end-user demand.
Cramer’s rule works only when weaker margins fund future growth, not when they reveal a business losing its competitive edge.
Nvidia stále míří na kumulované tržby z datových center kolem 1 bilionu USD do konce roku 2027. Finanční ředitel ale varuje před riziky v dodavatelském řetězci a konkurencí ze strany vlastních zákazníků.
During the company's GTC conference in March, Nvidia (NVDA +2.93%) CEO Jensen Huang expressed confidence in the company's opportunity in the artificial intelligence (AI) chip market.
"We saw $500 billion of very high confidence demand and purchase orders for Blackwell and Rubin through 2026," Huang said. "I'm here to tell you that right now where I stand ... I see through 2027 at least $1 trillion."
Recent results indicate that Nvidia is very much on pace to hit that target -- but some risks could derail its momentum.
Jensen Huang speaking at a conference. Image source: Nvidia.
Nvidia's growth path Over the past year, Nvidia's data center revenue made up roughly 90% of its total revenue, and its Blackwell chips have been the main engine behind that growth. In the fiscal first quarter of 2027 (which ends in January), data center revenue grew 92% year over year to $75 billion.
In fiscal 2026, which mostly aligns with calendar 2025, Nvidia generated $216 billion in total revenue, with nearly $194 billion from data centers. Wall Street's consensus estimate currently forecasts total revenue of $394 billion this year and $561 billion next year -- about $1.17 trillion in cumulative total revenue since last year.
If Nvidia's data center segment remains about 90% of total revenue, that implies cumulative data center sales from last year -- largely from Blackwell and the new Rubin chips -- will exceed $1 trillion by the end of next year.
Management has stuck with that forecast. During the company's fiscal first-quarter earnings call, CFO Colette Kress said, "We are continuing to work vigorously on our supply chain ecosystem to address the incredible demand we see ahead of us, giving us full confidence in the $1 trillion in Blackwell and Rubin revenue we foresee from 2025 through calendar 2027."
However, Kress' comment about working on its supply chain implies the risks that could prevent Nvidia from meeting its forecast.
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Risks to watch A key risk is execution. AI demand has created one huge bottleneck from data center construction to memory and other components needed to build advanced chips. Demand for Nvidia's hardware looks enormous, but the open question is whether Nvidia can ship enough to meet it.
Another risk is competition from Nvidia's own customers, such as Amazon and Alphabet's Google, which are designing custom AI chips for their cloud platforms. Top cloud companies have previously made up about half of Nvidia's data center revenue. If those customers shift more workloads to in-house silicon, Nvidia's growth could slow.
That's also why Nvidia has been striking partnerships with neocloud and sovereign customers, including IREN and leading Japanese manufacturers. Nvidia needs to reduce its dependence on sales to big tech companies that are increasingly focusing on their own chips.
The $1 trillion cumulative sales target is still in play -- but it isn't guaranteed. If the data center market slows or supply constraints limit Nvidia's ability to fulfill orders, it could pressure growth and the stock.
John Ballard has positions in Amazon, Iren, and Nvidia. The Motley Fool has positions in and recommends Alphabet, Amazon, and Nvidia. The Motley Fool has a disclosure policy.
Nvidia (NVDA +2.93%) is only up by 4% year to date, but comments from tech analyst Dan Ives suggest that the sluggish returns won't last for long.
"Demand to supply today is 12 to 1 for their chips. Physical AI hasn't even started to play out," Ives said on CNBC. The long-established tech bull also believes the AI revolution is only in the third inning.
His comments suggest Nvidia can break out of its market underperformance, and there's some evidence pointing in that direction.
Image source: Getty Images.
Tech giants are committed to high capital expenditures Nvidia's biggest customers are rushing to spend as much money on AI as possible. While Nvidia's GPUs aren't the only part of capital expenditures, they are a large focus for tech giants.
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Alphabet raised its full-year capital expenditure guidance to $195 billion-$205 billion. That's a meaningful jump from the $180 billion-$190 billion in guided capital expenditures earlier in the year. Amazon also raised its projected capital expenditures to $220 billion, with higher memory costs playing a big role.
All of these AI expenditures are coming with revenue acceleration. Microsoft also set ambitious capital expenditure targets but told investors it would achieve positive free cash flow in fiscal 2027. That news eased investors' concerns about AI costs, as Microsoft confirmed it wouldn't need to rely on dilution or bonds to fund AI spending.
Nvidia's fundamentals continue to improve There is a meaningful mismatch between Nvidia's 4% year-to-date returns and its financial performance. The ongoing supply shortage suggests Nvidia can maintain its current momentum, putting it at further odds with its recent returns.
Revenue surged by 85% year over year in the company's fiscal 2027 first quarter (ended April 26, 2026). Net income more than tripled year over year, resulting in a 22 forward P/E ratio. Its P/E ratio is a similar value to the S&P 500's P/E ratio, even though Nvidia grows faster than almost every company on the index.
When companies like Nvidia deliver high revenue numbers, some investors wonder how long it will last. Ives' commentary suggests this is still early, which is a good sign for Nvidia investors. If the shortage is really 12:1, there are a lot more chips that tech companies need to buy. Physical AI like humanoid robots and self-driving vehicles can expand the shortage and give Nvidia more years of exceptional revenue growth.
As investors realize Nvidia's growth can last for multiple years, they will rerate the stock higher from current levels.
Marc Guberti has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Amazon, Microsoft, and Nvidia. The Motley Fool has a disclosure policy.
Nvidia ještě tento měsíc zveřejní hospodářské výsledky za 2. čtvrtletí a investoři budou sledovat Blackwell, Vera Rubin i případné známky zpomalování prodejů. Firma zároveň čelí rostoucí konkurenci, protože zákazníci vyvíjejí vlastní AI čipy.
Nvidia (NVDA +2.93%), arguably the most popular artificial intelligence (AI) stock on the planet, is also the most valuable company on the planet. Its growth trajectory, however, could just be getting started.
According to research from Stanford University, today's AI models already meet or exceed human baselines on Ph.D.-level science questions, multimodal reasoning, and competition mathematics. But there's still a long way to go until these models control huge swaths of the economy. One model, for example, recently won a gold medal at an international math competition. Yet that same model was able to read analog clocks correctly just 50.1% of the time.
In short, we are still very much in the early innings of both AI adoption and AI capabilities. McKinsey & Company forecasts that more than $5 trillion will be spent globally through 2030 alone on building additional data center infrastructure. Through 2040, a staggering $19 trillion is projected to be deployed to fuel the AI revolution.
As the world's largest AI chip manufacturer, Nvidia sits at the center of this ongoing revolution. Later this month, the company reports second-quarter earnings after market close. Here are the two biggest factors investors should be monitoring.
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1. What is happening with Blackwell and Vera Rubin? Nvidia's Blackwell architecture was officially announced in early 2024. Shipments began later that year. These chips quickly sold out, and at one point, reports suggested that a backlog existed that could persist for 12 months or longer. If there was any doubt that Nvidia's graphics processing units (GPUs) were dominant, Blackwell's initial sales traction put those doubts to rest.
Nvidia's Vera Rubin architecture was also teased in 2024. Sales, however, only began earlier this year. While reports have suggested production issues, Nvidia CEO Jensen Huang recently confirmed that "Vera Rubin is already in production," adding that there are "giant amounts of production incoming."
While the two are designed for different purposes, Nvidia's next earnings report should shed light on whether Vera Rubin sales are competing with Blackwell sales. We'll also get a better idea of Vera Rubin's sales pace and potential backlog, as well as more firm updates on production. The specifics of these updates should have a big effect on the market's understanding of Nvidia's current competitiveness and future sales potential.
Image source: Getty Images.
2. Is management concerned with rising competition? While other experts will be keeping a close eye on margins, China exposure, and future product teasers, I'll be monitoring Nvidia management's comments on rising competition for GPU manufacturing.
Scores of companies, ranging from space stocks like SpaceX to electric vehicle makers like Rivian, are planning to design and build their own AI chips in-house. These companies will remain heavily reliant on Nvidia over the coming years until their internal manufacturing facilities are built and up to spec. How concerned is Nvidia regarding the long-term potential of key clients manufacturing their own chips?
"Company after company has lined up to challenge Nvidia's grip on AI chips," reports Quartz. "The big cloud providers building their own chips aren't walking away from Nvidia entirely," the publication stresses. But they are looking to reduce their reliance on Nvidia, which, by most estimates, holds 70% to 95% of the AI chip market.
The AI market is growing so quickly that Nvidia can afford to lose share and still grow in absolute size. This quarter -- and in future quarters -- I'll be closely monitoring how management is discussing rising competition, especially from key customers.
Nvidia rozšiřuje sázku na fyzickou AI a autonomní vozidla, kde už spolupracuje s Uberem, Toyota, Stellantis, Mercedes-Benz, BYD a Geely. Jensen Huang vidí tento byznys na 100 miliard USD ročních tržeb během příští dekády.
Before ChatGPT launched, Nvidia (NVDA +2.93%) was worth $386 billion.
Today, largely because of the generative AI boom unleashed by ChatGPT, the company is worth more than ten times that, currently valued at nearly $5 trillion.
Now, there's another technological revolution unfolding that Nvidia is also leading, and it could be a significant long-term driver for the stock. I'm talking about the autonomous vehicle and robotics market, or, more broadly, what CEO Jensen Huang calls physical AI.
Image source: Nvidia.
Nvidia and physical AI Nvidia is best known for its GPUs and the related components that power AI compute in the data center, but the company has also built a substantial advantage in physical AI components.
Its Jetson Thor supercomputer, for example, is widely considered the market leader for raw AI inference and robotics simulation. Nvidia sells Jetson Thor to a wide range of robotics companies, including Boston Dynamics, Amazon Robotics, Caterpillar, Deere, and others.
Those companies are using Jetson Thor for applications like computer vision to help operate robots and machines in Amazon's warehouses or agricultural fields for Deere.
Jetson Thor has also been adopted by tech companies like Meta and OpenAI, as well as healthcare companies like Medtronic.
While the robotics market is growing rapidly, the bigger prize here for Nvidia seems to be autonomous vehicles, an industry that could be approaching a tipping point. Alphabet's Waymo is now handling 500,000 weekly paid rides, more than doubling from a year ago, and it operates in 10 metro areas. Tesla's robotaxis are now available in seven cities, and other AV companies are expanding rapidly as well.
While Waymo and Tesla aren't direct AV partners of Nvidia, the chipmaker has signed up a number of key AV companies, including Uber, Toyota, Stellantis, Mercedes-Benz, and two Chinese EV makers, BYD and Geely.
Its most important automotive partnership is with Uber, as the ridesharing giant is working with Nvidia and OEMs like Stellantis to deliver at least 5,000 Level 4 autonomous vehicles for a robotaxi network. Nvidia's DRIVE AGX Hyperion AV platform will provide the brains for the AVs as it does for the other companies listed above.
What the numbers say Nvidia's automotive business is still small, reporting just $2.3 billion in revenue in fiscal 2026, which was up 39% from the year before. In fiscal 2027, which started earlier this year, Nvidia restructured its reporting segments to combine the three non-data-center segments (Gaming and AI PC; Professional Visualization; Automotive and Robotics) into one, Edge Computing.
As a result, investors won't get the same level of transparency on the automotive business, but Nvidia is providing updates on it.
Though it's small now, the physical AI business is likely to deliver returns over a longer time horizon, as Jensen Huang recently said it's now generating $10 billion in annual run rate revenue, and he sees it growing to $100 billion within the next decade.
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Nvidia is already valued at $5 trillion, and it trades at a forward P/E of just 22, less than the S&P 500, even though analysts expect revenue to grow 82% this year.
That mismatch seems to owe to the historical cyclicality of the semiconductor sector and the risk of an AI bubble. Investors are hedging their bets that Nvidia's bumper profits will eventually decline, or at least that its growth will slow significantly.
The physical AI business provides an antidote to this. It's a totally separate vertical from data centers and generative AI, and should be less cyclical, as transportation is a constant need. Additionally, the company uses a recurring software-as-a-service model for part of its AV business, including the Drive AV stack.
That could give the physical AI business a significantly higher multiple than Nvidia's hardware business, as software typically trades at a higher valuation than hardware. If it reaches $100 billion in revenue, the physical AI business could earn a market value of $2 trillion or more, depending on its growth rate and profitability.
By making Nvidia more resilient to an AI downturn, the business should also help lift its valuation. Combine those benefits with the continued growth in the core data center segment, and it's not hard to see the company reaching $10 trillion in a few years.
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July 31 (Reuters) - Chinese AI firm Moonshot has a computing agreement with Alibaba Group (9988.HK), opens new tab for the use of about 20,000 Nvidia (NVDA.O), opens new tab chips, Bloomberg News reported on Friday, citing people familiar with the matter.
Alibaba, one of Moonshot's largest investors, expects portfolio companies to use its cloud, the report said. The Nvidia chip cluster Alibaba provides accounts for a key portion of the computing power behind Moonshot's Kimi models, it added.
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Moonshot earlier this month unveiled Kimi K3, a 2.8-trillion-parameter model. It said Kimi K3 was the world's largest open-weight AI system and delivered performance approaching U.S. giant Anthropic's frontier Fable model.
U.S. export controls on advanced Nvidia chips have made access to computing power a key constraint for Chinese companies.
Moonshot can access Nvidia's newer Blackwell processors through Southeast Asia and is seeking additional chips to train its next AI model, Bloomberg reported.
Separately, the roughly 20,000 Nvidia chips Moonshot has access to are from the chip giant's earlier Hopper generation, the report said.
Before Nvidia rolled out its Blackwell lineup, Hopper chips were used across the AI industry to train and deploy models.
An Alibaba spokesperson denied to Bloomberg that the company provides H200-powered computing services to Moonshot.
Moonshot's Kimi model surpassed Alibaba's Qwen on key performance measures despite access to similar training resources, disappointing some Alibaba employees, the report said.
Reuters could not independently confirm the report. Moonshot and Alibaba could not be reached for comment outside regular business hours.
The White House, the U.S. Commerce Department and Nvidia did not immediately respond to Reuters' requests for comment.
The report comes as Moonshot faces growing scrutiny from U.S. officials. The U.S. government had information indicating Moonshot distilled Anthropic's Claude Fable 5 model to develop Kimi K3, the White House's top tech adviser, Michael Kratsios, said last week.
Reporting by Anhata Rooprai in Bengaluru; Editing by Shreya Biswas
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Nvidia (NVDA +2.65%) has been around since 1993, but it came into the spotlight for its graphics processing units (GPUs), which are crucial for training and scaling artificial intelligence (AI). They provide much of the compute power that powers AI workloads.
At the beginning of the current AI boom, the goal for tech giants was simply acquiring as much compute power (i.e., GPUs) as possible. Now, the focus has shifted to memory chips, but as Nvidia's CEO, Jensen Huang, highlighted, those memory chips are now AI's biggest bottleneck.
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Why memory is important to AI and Nvidia AI training and application rely on trillions of data points, and it wouldn't be possible to store and quickly retrieve them without specialized memory chips. As AI is used for handling more complex tasks -- such as running autonomous agents or processing complicated context instead of providing recipes or travel recommendations -- the need for high bandwidth memory has become increasingly important.
Nvidia began its reign selling its GPUs and AI hardware, but now it's building systems with multiple working parts, including memory chips that are packed into its hardware. That means relying on memory chipmakers, such as Micron, SK Hynix, and Samsung, for a continuous, high-volume supply.
Unfortunately, making those specialized memory chips is far from simple, which is why only a handful of companies make the vast bulk of them.
Nvidia CEO Jensen Huang. Image source: Nvidia.
What does it mean for Nvidia? The downside to the shortage is that Nvidia is at the mercy of memory chip suppliers for its own supply chain. If the suppliers can't make memory chips fast enough, Nvidia will have to wait, potentially affecting its own business.
The positive is that Nvidia has the cash and purchasing scale to have priority on the memory chips being made. In its most recent quarter (ended April 26), it generated $48.6 billion in free cash flow and finished the quarter with $13.2 billion in cash and cash equivalents. It can easily pay a premium to buy them in bulk, shutting out smaller competitors and further cementing its stronghold on the industry.
Investors shouldn't hear Huang's message and become concerned; it's just the next chapter of the AI evolution. If anything, it should be encouraging that Nvidia can use its leadership position to be a long-term force, regardless of the current hiccup.
Nvidia's stock has been a disappointment this year, up only 0.60% year to date as of market close on July 29, but much of that has to do with overall sentiment surrounding big tech and the "Magnificent Seven" stocks as a whole, versus disappointing business performance from Nvidia.
NVIDIA i AMD po výsledcích za čtvrtletí znovu posunuly příběh AI čipů. NVIDIA zůstává infrastrukturním lídrem s tržbami 81,615 miliardy USD a datacentrovým segmentem 75,246 miliardy USD, zatímco AMD roste jako druhá alternativa pro hyperscalery. AMD následně vykázala tržby 10,253 miliardy USD.
NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) and Advanced Micro Devices (NASDAQ:AMD) both delivered post-earnings updates that reshape the AI chip narrative. NVIDIA posted $81.615 billion in Q1 FY2027 revenue, while AMD followed with $10.253 billion. One is the infrastructure utility. The other is finally the credible second source hyperscalers actually deploy at scale.
Data Center Carries Both. Only One Prints Utility Margins. NVIDIA’s Data Center segment reached $75.246 billion, up 92% YoY, with networking exploding 199% as InfiniBand, NVLink, and Spectrum-X locked customers into the full rack. Jensen Huang called the buildout “the largest infrastructure expansion in human history”, and the 75.0% non-GAAP gross margin backs that framing.
AMD’s Data Center revenue hit $5.775 billion, up 57% YoY, and became the primary earnings driver. Lisa Su told investors “customer forecasts exceeding our initial expectations” around MI450 and Helios. EPYC server revenue grew more than 50% year-over-year, its fourth straight record quarter. Gross margin sits at 55%, respectable but a full turn behind NVIDIA.
Driver NVIDIA AMD Data Center growth +92% YoY +57% YoY Non-GAAP gross margin 75.0% 55% Free cash flow $48.554B $2.566B Infrastructure Utility vs. Merchant Second Source NVIDIA owns the software, networking, and rack architecture. That is why 80%+ chip margins translate into predictable cash flow and support a $80 billion new buyback authorization plus a dividend hike to $0.25 per share.
AMD’s role has genuinely changed. Meta committed to 6 gigawatts of AMD Instinct GPUs including a custom MI450 chip, layered onto the earlier 6 gigawatt OpenAI commitment. Su even flagged a CPU-to-GPU ratio shifting from “1:4 or 1:8 configurations toward something closer to 1:1”, which quietly expands the EPYC opportunity as agentic workloads spread.
The Next Test Is Helios, Rubin, and China AMD’s MI450 volume ramp lands in Q3, with Helios rack-scale competing directly against NVIDIA’s Vera Rubin roadmap. NVIDIA guided Q2 revenue to $91.0 billion, excluding China Data Center compute entirely. AMD guided to roughly $11.2 billion. I will keep an eye on whether Helios deployments actually convert pilots into production, and whether NVIDIA’s networking growth holds once merchant fabrics mature.
Why I Split the Trade Between Them Personally, I lean toward NVIDIA as the core position. Free cash flow of $48.554 billion in a single quarter, a P/E near 32, and analyst buy ratings of 58 support the utility thesis. AMD is the higher-variance sleeve. Its stock is up 131.11% YTD but trades at a P/E of 175, leaving little room for stumbles. If you want durability, NVIDIA. If you want torque on every hyperscaler headline, AMD. I would hesitate to own only one.
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Nvidia ve čtvrtek vzrostla asi o 3 % po silných výsledcích Microsoftu, které obnovily optimismus kolem výdajů na AI infrastrukturu. Polovodičové akcie tím po týdnu výprodejů oživily.
Nvidia stock NVDA rebounded around 3% on Thursday as strong results from Microsoft reignited optimism around artificial intelligence infrastructure spending, lifting semiconductor stocks after a week of heavy selling.
The stock traded around $195.50 in early trading. Intel rose about 12%, while Advanced Micro Devices gained roughly 13%.
The broader market also advanced after Wednesday's selloff following the Federal Reserve's decision to leave interest rates unchanged.
The Nasdaq Composite rose 2%, the S&P 500 gained 1%, and the Dow Jones Industrial Average added 308 points, or 0.6%.
Semiconductor stocks rallied after Microsoft reported strong growth in its Azure cloud business, easing investor concerns that hyperscale technology companies could begin pulling back on artificial intelligence investment.
The iShares Semiconductor ETF climbed more than 7% in early trading, while the PHLX Semiconductor Index looked set to snap a five-session losing streak.
Microsoft also reassured investors by keeping its calendar 2026 capital expenditure plans unchanged, avoiding another sharp increase in spending after several quarters of aggressive AI investment.
Meta Platforms, by contrast, fell about 8% after issuing a softer-than-expected revenue forecast and reporting a 91% decline in second-quarter free cash flow.
The company modestly increased the lower end of its 2026 capital expenditure guidance to a range of $130 billion to $145 billion, compared with its previous outlook of $125 billion to $145 billion.
The mixed results highlighted a shift in investor focus from simply rewarding higher AI spending toward evaluating whether companies can balance investment with profitability and cash generation.
Thursday's gains followed several weeks of pressure on Nvidia shares.
The stock recently lost its position as the world's most valuable listed company to Apple after a sharp decline driven by concerns over AI spending, financing structures, and rising competition in the semiconductor industry.
Investor sentiment was also weighed down by reports that a Chinese company had begun mass-producing key chipmaking equipment, raising questions about future competitive dynamics.
In addition, The Wall Street Journal reported that Nvidia is discussing a roughly $250 billion financing guarantee to support OpenAI's lease of a large data centre project in Ohio.
The proposed arrangement would help OpenAI secure more favourable financing while supporting long-term demand for Nvidia's AI chips.
However, the report also prompted concerns among some investors that financing agreements between Nvidia and its customers could resemble the circular financing structures that emerged during the dotcom era.
Thursday's rally suggested investors were once again focusing on the underlying outlook for AI infrastructure demand, with Microsoft's cloud performance helping restore confidence that spending by the industry's largest customers remains resilient despite growing scrutiny over capital allocation.
Charles Payne tvrdí, že AI není dot-com bublina, protože NVIDIA vykazuje silný růst zisku i tržeb. V posledním čtvrtletí měla tržby 81,615 miliardy USD, meziročně o 85,23 % více, a EPS 1,87 USD při odhadu 1,77 USD.
Although Wall Street keeps rehearsing the dot-com script every time a semiconductor stock rips higher, Fox Business host Charles Payne argues on the Rich Habits Podcast that the comparison “wastes a lot of time” and “creates a lot of hesitation” for investors watching a generational buildout pass them by. The reflex is understandable. Cisco Systems (NASDAQ:CSCO | CSCO Price Prediction) was briefly the most valuable company on earth in March 2000, then collapsed roughly 89% by 2002, and the stock still has not recaptured that peak 26 years later. But the load-bearing question is not whether the chart looks similar. It is whether the earnings underneath match.
The Long Memory pattern Payne cites concerns the mechanism that caused the crash, not the crash itself. Cisco’s growth in the late 1990s came largely from acquisitions rather than organic expansion, and its customers were money-losing dot-coms burning venture capital that later imploded. That is what a bubble looks like from the inside: revenue growth that depends on other people’s speculation. What Payne asks investors to do is boring and useful. Check whether earnings per share are following the stock price higher. Check organic versus acquisition-driven growth. Check PE, forward PE, and PEG.
NVIDIA Broke the Mold Run that test on NVIDIA (NASDAQ:NVDA) and the parallel breaks. In its most recent quarter, filed May 20, NVIDIA posted revenue of $81.615 billion, up 85.23% year over year, non-GAAP EPS of $1.87 against a $1.77 estimate, and non-GAAP gross margin of 75.0%. Data Center revenue alone reached $75.246 billion, up 92% year over year, with networking up 199%. Net income climbed 210.63%. That is operating leverage, not acquisition accounting.
The valuation gut-check matters here. Cisco at its 2000 peak carried a price-to-earnings ratio in the 130x to 200x range with revenue growth in the 40s to 50s. NVIDIA today trades at a trailing P/E of 40 with 85% revenue growth and a return on equity of 101.49%. The tape looks like the dot-com era. The math does not. NVIDIA has beaten EPS estimates in every single quarter from FY2023 Q1 through FY2026 Q2, and the surprise magnitudes have compressed as analysts finally catch up to the run rate.
Payne’s second test is who is writing the checks. The customer base is where dot-com Cisco failed the audit. NVIDIA’s customers are the most profitable enterprises on the planet, and their AI revenue is contracted, not vaporware. Microsoft (NASDAQ:MSFT) told investors on its most recent call that its “AI business surpassed $37 billion ARR, up 123%”, with commercial remaining performance obligations, its committed backlog, at $627 billion. Microsoft added “another gigawatt of capacity this quarter” and is on track to double its footprint in just two years. Money that has already been signed for is not a bubble.
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A Historical Comparison Payne’s deeper historical mirror is the 1860s, well before 1999. Between 1860 and the early 1900s, America eclipsed the rest of the world, life expectancy grew and disposable income appeared for the first time, largely on the back of the railroads and the second industrial revolution. That buildout also produced spectacular busts and forgotten winners. Payne concedes the point directly: “Not all the AI winners today may be relevant 10 years from now.” The pattern is that the platform survives even when specific tickers do not. What is different this time, in his framing, is access. In the railroad era “maybe there were 1,000 investors, period,” where today “everyone’s got an opportunity to get involved and to ride this wave.”
The Cisco cautionary tale still deserves respect. Even now, with Cisco riding a real AI networking cycle of its own, revenue of $15.8 billion up 12% year over year and a raised FY26 hyperscaler AI order outlook of roughly $9 billion, the stock has returned only 171.25% cumulatively since March 1, 2000. That is the ceiling a broken multiple can impose on a good business for a quarter century. Jensen Huang’s read on the current cycle is a different order of magnitude. He told analysts NVIDIA sees “$1 trillion in Blackwell and Rubin revenue” through calendar 2027 and forecasts AI infrastructure spending on track to reach $3 trillion to $4 trillion annually by the end of this decade.
The pattern that repeats is the buildout, well beyond the crash. Railroads, electrification, the internet, and now AI factories all produced periods where the stock market ran ahead of proof, then waited for earnings to catch the tape. Payne’s argument, tested against the numbers, is that NVIDIA’s earnings are pulling the tape higher rather than chasing it. Long term, Wall Street tends to sort platform winners from tourists on the strength of free cash flow, and $48.554 billion of quarterly free cash flow is the sort of receipt that Cisco in 2000 could not produce. The window Payne describes is open. The homework he demands is what keeps investors on the right side of it.
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Jensen Huang věří, že AI revoluce teprve začíná, a očekává, že Nvidia do roku 2027 dosáhne tržeb 1 bilion USD z čipů. CFO Colette Kress navíc odhaduje roční investice do AI infrastruktury na 3 až 4 biliony USD do konce dekády.
Nvidia (NVDA -3.55%) recently gave up its seat as the world's most valuable company. That title now belongs to Apple, whose shares are up 25% in 2026 (as of July 28). This significantly exceeds the artificial intelligence (AI) stock's muted 6% gain this year.
But it wasn't long ago that Nvidia's market capitalization was firmly above $5 trillion, something that could happen again very soon. Investors worried about the shares' latest fall will take solace in CEO Jensen Huang's bullish call from several weeks ago on the prospects of the AI market.
Image source: Nvidia.
One of the most credible AI executives is telling investors to be optimistic When he was in Seoul, South Korea, in early June, Huang essentially told investors to act aggressively when there's market weakness. At the time, chip stocks were selling off, a rout that's continuing now. Anytime shares in these companies take a hit, it's time to be a buyer, Huang believes.
He thinks the AI revolution is just getting started. During Nvidia's GTC conference in March, Huang said that the business will collect $1 trillion in sales from its chips through 2027, double the previous $500 billion forecast through 2026.
And chief financial officer Colette Kress believes that spending on AI infrastructure will total $3 trillion to $4 trillion by the end of the decade. This isn't a cumulative figure; the colossal sum is an annual outlook. These numbers reveal management's firm belief that demand isn't going anywhere.
Nvidia sits at the center of the AI boom Of course, Nvidia's CEO has every reason to downplay any of the market's concerns regarding the mind-boggling AI build-out. His goal is to drive ongoing optimism among investors. After all, his business is at the heart of the infrastructure boom, providing powerful graphics processing units that data centers need to run AI models. However, given Nvidia's monster success, with revenue and net income up 85% and 211%, respectively, year over year during Q1 2027 (ended April 26), Huang's perspective is definitely credible.
Nvidia might have more skin in the AI game than any other company. For example, it invested $30 billion in OpenAI in March and has taken equity stakes in many other companies. And it's reportedly looking to guarantee $250 billion in financing for OpenAI so the leading AI lab can lease a new data center in Ohio. Nvidia also repurchased $19 billion of its own stock last quarter.
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Watch the hyperscalers Alphabet, a hyperscaler that's rapidly expanding its computing capacity, just raised its 2026 forecast for capital expenditures (capex) to $200 billion (at the midpoint). This shows that the spending isn't letting up. In fact, it's rising.
Based on recent trends, there's a high likelihood that the other hyperscalers will also bump up their capex plans when they report financial results later this week.
The biggest unknown, though, is whether the investment community believes in the durability of this AI revolution. That's the multitrillion-dollar question the market is facing. Jensen Huang will certainly do his best to drive investor bullishness.
Penguin Solutions uvedla, že „memory je nové compute“, a u agentické AI očekává další růst poptávky po pamětech. Tržby ve 3. fiskálním čtvrtletí vzrostly meziročně o 48 % na 478,71 milionu USD.
Penguin Solutions CEO Kash Shaikh appeared on CNBC on July 29 with his thesis for the current AI cycle: “Memory is the new compute, especially with agentic AI.” As autonomous AI agents evolve from short prompt-and-response interactions into workloads operating around the clock, he expects the primary bottleneck in an AI factory to increasingly shift toward memory bandwidth and capacity rather than GPU throughput alone.
Shaikh described his company plainly: “Penguin Solutions is an AI factory platform company. We sit at the intersection of two very high-demand markets, AI infrastructure and memory.” He added that “enterprises, governments around the world and the new cloud providers are racing to build the AI factories” and that backlogs now extend multiple quarters.
Revenue Soared 48% as AI and Memory Demand Exploded Penguin Solutions (NASDAQ:PENG) has become one of the most direct public-market vehicles for the memory-as-bottleneck thesis. Shares are up 123% since the start of 2026, with the company supporting a market cap of nearly $2.47 billion and analysts carrying a Buy consensus with a $74.29 price target, implying meaningful upside from the stock’s current price of $43.70.
The fundamentals back the CEO’s confidence. In fiscal Q3 2026, company-wide revenue grew 48% year over year, and the memory and AI infrastructure business grew over 104% year over year to represent over 75% of total net sales. Q3 saw revenue of $478.71 million, and non-GAAP diluted EPS of $0.84, beating consensus by 13.61% and 49.33%, respectively.
Management responded by raising fiscal 2026 net sales growth guidance to 22% ±2% and non-GAAP EPS guidance to $2.60 ±$0.05. Penguin was also recently named an NVIDIA AI Factory Specialized Partner and Dell’s Global Alliances Americas AI Partner of the Year.
Why Agentic AI Could Make Memory the Next Great Bottleneck CEO Shaikh’s argument turned to how agentic workloads behave. Where advisory AI answers a question and stops, agentic AI is “performing tasks, automating workflows, and it is working 24/7.” Continuous context windows, persistent KV caches, and long-running tool use all pile pressure onto memory subsystems. Penguin’s MemoryAI CXL-based KV cache server, already deployed at a Tier One financial institution, is designed for exactly that workload.
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On the earnings call, Shaikh reinforced the point, noting that “as inference and agentic AI workloads become more persistent and context-rich, memory is increasingly becoming one of the primary performance and scalability bottlenecks.”
Micron’s Historic Growth Validates the Memory Supercycle Micron Technology (NASDAQ:MU | MU Price Prediction) offers a readout of the same phenomenon. Fiscal Q3 2026 revenue reached $41.46 billion, up 345.7% year over year, with GAAP gross margin expanding to 84.6%. CEO Sanjay Mehrotra told investors the results “reflect the strategic value of memory in the AI era.” HBM4 is now in high-volume shipments, and Micron guided Q4 revenue to $50.0 billion ±$1.0 billion. Shares are up 187.67% year to date.
NVIDIA Remains the Engine Behind the AI Factory Buildout NVIDIA (NASDAQ:NVDA) remains the demand engine behind AI factory buildouts, with fiscal Q1 2027 revenue of $81.62 billion and Data Center revenue of $75.25 billion. Jensen Huang has called it “the largest infrastructure expansion in human history.” Penguin sits directly inside that ecosystem as an NVIDIA AI Factory Specialized Partner, and the two companies’ networking and memory roadmaps are increasingly coupled.
Penguin’s Biggest Risk Is Also Its Biggest Opportunity Penguin trades at a forward P/E near 12, but the stock’s beta of 2.83 and a recent 22.68% one-month drawdown make it clear that investors are weighing memory-pricing risk against secular demand. While 74% of revenue is AI-related, about 89% of operating profit comes from the memory segment, meaning that Penguin is tied to the same cycle Micron rides.
If Shaikh is right that agentic AI will make memory a primary infrastructure bottleneck, that concentration could become Penguin’s greatest advantage. The next signals to watch are how quickly its multi-quarter backlog converts into revenue and whether MemoryAI CXL deployments expand beyond the initial Tier One customer.
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UBS tvrdí, že výprodej polovodičů je přehnaný a obavy z „circular financing“ u AI projektů zkreslují realitu. Podle banky financování táhne dodavatelský řetězec čipů, ne hyperscaleři.
Semiconductors are caught in a selloff UBS thinks is overblown.
The bank argues that fears over "circular financing" in AI infrastructure deals misread who's actually cashing in on the buildout, and it's the chip supply chain, not the hyperscalers, footing the bill.
The commentary follows a wave of investor inquiries about data center deals from Nvidia Corp (NASDAQ:NVDA, XETRA:NVD) and Advanced Micro Devices Inc (NASDAQ:AMD, XETRA:AMD). Recent media reports indicated Nvidia is backing up to $50 billion in lease agreements for a Hut 8 site in Texas and is working on deals worth $750 billion in total, including a $250 billion arrangement with OpenAI, according to Bloomberg. AMD, together with an undisclosed neocloud partner, signed a deal with Core Scientific for up to 2.5 gigawatts of capacity, starting with 500 megawatts in 2027.
UBS identified four drivers behind the recent correction: concerns about open source models weighing on frontier model providers' growth, questions about the memory cycle's sustainability, perceived "circular" financing arrangements, and crowded investor positioning in semis.
The bank pushed back on the first three. It sees the rise of open source models as a net positive for Nvidia, pointing to Artificial Analysis data showing new open models sit between prior and current-generation frontier offerings. It also maintained its view that NAND pricing will roll over in late calendar 2027 and DRAM in mid-2028, with nothing so far to change that call.
On financing, UBS disputed Street estimates that free cash flow for Amazon, Google, Meta and Microsoft will fall below $100 billion in 2027. The bank's own hyperscaler capex projection of roughly $1.4 trillion for that year implies the four companies' combined free cash flow would instead be slightly negative, around negative $60 billion including Oracle. That gap is largely due to rising memory prices, which UBS said are set to require about $550 billion in incremental capex between 2026 and 2027, nearly the entire projected year-over-year increase for that period.
Against that backdrop, UBS estimates Nvidia will generate approximately $900 billion in free cash flow through the end of 2028, with Micron Technology Inc (NASDAQ:MU) generating about $450 billion and AMD about $90 billion, all within its US coverage universe. In UBS's view, the supply chain is generating all of the cash, which the bank says makes sense.
That dynamic, UBS argued, explains why cash-generating suppliers are helping underwrite the buildout, and suggested Nvidia may be shifting toward a more vertically integrated model.
The bank also said hyperscalers' capex increases largely reflect higher memory prices rather than added compute, meaning supply and demand for compute itself has tightened further.
As memory prices normalize, UBS expects hyperscaler spending to ease and free cash flow to improve, a trend it views as ultimately positive for the AI trade despite any near-term drag on semis.
NVIDIA klesla ve středečním řádném obchodování o 2,3 % poté, co slabší výsledky SK Hynix prohloubily výprodej v čipech. Akcie tlumí i tlak na to, zda AI investice přinášejí dostatečnou finanční návratnost.
NVIDIA NVDA , a U.S. designer of processors used for artificial-intelligence computing, fell approximately 2.3% in Wednesday's regular-session trading as of 11:18 a.m. ET as investors assessed SK Hynix's disappointing earnings and continuing pressure across semiconductor stocks. SK Hynix HXSCL , a South Korean memory-chip producer supplying NVIDIA, closed 9.6% lower after its record profit missed expectations. The Philadelphia Semiconductor Index declined 1.6% during morning trading.
SK Hynix's operating profit increased more than sixfold, supported by demand for advanced memory used in AI systems. However, shipment delays involving some advanced products limited price increases for its DRAM chips. The company disclosed approximately 10 long-term supply agreements, but analysts said the arrangements could restrict gains if memory prices continue rising. Investors were also disappointed by the absence of detailed plans for increasing shareholder returns.
NVIDIA's decline illustrates how investor attention has shifted from AI spending commitments toward evidence that infrastructure investment is producing sufficient financial returns. Reuters reported that investors were also concerned about intensifying competition from Chinese chipmakers and lower-cost AI models. Microsoft and Meta Platforms are scheduled to report after Wednesday's close, followed by Amazon and Apple later in the week. Their cloud growth, AI revenue and infrastructure-spending disclosures could influence whether pressure on NVIDIA and the broader semiconductor sector continues.
Mark Cuban a Michael Burry varují, že AI boom je nebezpečně závislý na Nvidii. Burry navíc upozornil na rostoucí náklady na pojištění proti defaultu $NVDA.
Mark Cuban and Michal Burry warn the AI boom is dangerously reliant on Nvidia By You're currently following this author! Want to unfollow? Unsubscribe via the link in your email.
Mark Cuban (left) and Michael Burry. Bloomberg/Getty Images; Astrid Stawiarz/Getty Images Mark Cuban and Michael Burry just sounded the alarm on Nvidia's sprawling web of AI deals.
Cuban struck a worried tone on X after another user wrote that Nvidia, by financing its customers' purchases of its graphics chips for their data center buildouts, is acting as a "backstop" and making itself vulnerable to an AI downturn.
"This is so analogous to the dot com burst," the tech billionaire and former "Shark Tank" investor wrote in a Tuesday post. "But instead of IPOs, Nvidia is the 'ipo,' funding everyone and anyone."
Cuban was referring to the popularity of going public during the internet bubble as a way for startups to raise cash and secure rich valuations — and saying that Nvidia has replaced the stock market in that role during this tech boom.
"One breakthrough in another chip provider, or a misstep, and it all could crumble," he wrote on X. "It's truly scary."
As far as Nvidia subsidizing everyone. You are right on. But that feeds the credit problem, far beyond oracle.
You never know where an exogenous change is going to come from. This is so analogous to the dot com burst. But instead of IPOs, Nvidia is the “ipo” , funding…
— Mark Cuban (@mcuban) July 28, 2026 Nvidia has struck deals worth hundreds of billions of dollars with numerous players in the AI ecosystem, including OpenAI, Microsoft, CoreWeave, and SK Hynix.
Cuban seems concerned that the chipmaker is so deeply intertwined with its customers that if it runs into problems, the damage could spread far and fast, creating painful and widespread fallout.
Nvidia CEO Jensen Huang himself, speaking during a company meeting in November, acknowledged Nvidia's linchpin role by pointing to online memes about the company propping up the AI boom, the stock market, and the global economy.
"We're basically holding the planet together — and it's not untrue," Huang said.
Shares of Nvidia were trading 2% lower on Wednesday, leaving them down 18% from their May peak. But they're still up around 13-fold since the start of 2023.
Nvidia didn't immediately respond to a request for comment from Business Insider.
"Biblical proportions"Burry, the investor of "The Big Short" fame, issued a similar warning to Cuban in a late Tuesday post on X.
"There is a reason $NVDA's 5 year credit default swaps are going parabolic," he wrote, attaching a chart showing the price of buying insurance against Nvidia defaulting on its debts has roughly doubled within the past two months.
"All this overreaching by #nvda to push the circular spending to biblical proportions," he added, suggesting that markets are pricing in a greater risk of Nvidia failing to meet its financial commitments because it's overextending itself with too many deals.
Michael Burry posted about Nvidia "circular spending" on X. @michaeljburry/X Burry's iconic "Big Short" centered on buying credit default swaps to bet against subprime mortgage bonds during the mid-2000s housing bubble. The instruments surged in value once mortgage defaults began spiking, resulting in a huge windfall for Burry and his clients.
Both Cuban and Burry have taken aim at aspects of the AI boom in recent weeks.
Cuban cautioned on a podcast that companies are overbuilding AI infrastructure that will become more efficient over time, resulting in excess capacity. He quipped that a lot of the buildings will be converted into pickleball courts.
Similarly, Burry has said that tech giants are overinvesting in microchips and data centers that will quickly become obsolete, dragging out depreciation to inflate their earnings, and signing "give-and-take" deals to keep fueling hype around AI.
Burry, who pivoted from running a hedge fund to writing about his personal portfolio last winter, wrote in January that he was short Nvidia because it was "entirely dependent on hyperscaler spending, and I do not see how that math works."
In a July 24 post, Burry wrote that he bolstered his Nvidia short and holds bearish puts on the stock "in good size." He believes that much of its demand doesn't stem from end customers, much of it is financed and kept off its balance sheet, and "future revenues are majority financed in a circular arrangement," he wrote.
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Theron Mohamed You're currently following this author! Want to unfollow? Unsubscribe via the link in your email.
Theron Mohamed is a London-based correspondent on the Trending team at Business Insider. His coverage spans finance, investing, wealth, markets, and the economy.Theron joined BI in 2019 as a reporter at Markets Insider and rose to the rank of correspondent before moving to the Trending team in 2024. He previously covered tech, media, and telecom stocks for Investors Chronicle magazine and had a brief stint on the Financial Times' Data team. He interned at the Wall Street Journal in New York where he primarily wrote for Heard on the Street.Theron has freelanced for The Independent, The Telegraph, WIRED, and several smaller publications. He holds an undergraduate degree in geography from the London School of Economics, and a master's degree in journalism from Columbia University.Theron often covers Warren Buffett, Michael Burry, Jeremy Grantham and other top-flight investors. He also writes about the world's wealthiest people and shares financial advice from all manner of rich and successful people.Email Theron at [email protected] and follow him on X @theron_mohamed.Expertise
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AXS Investments LLC decreased its holdings in shares of NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 34.0% in the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 25,862 shares of the computer hardware maker’s stock after selling 13,308 shares during the period. NVIDIA comprises 1.8% of AXS Investments LLC’s portfolio, making the stock its 6th biggest holding. AXS Investments LLC’s holdings in NVIDIA were worth $4,510,000 as of its most recent SEC filing.
Several other large investors also recently modified their holdings of the stock. Norges Bank acquired a new stake in shares of NVIDIA in the 4th quarter valued at $62,244,133,000. J. Stern & Co. LLP lifted its holdings in NVIDIA by 13,709.1% during the 4th quarter. J. Stern & Co. LLP now owns 125,760,307 shares of the computer hardware maker’s stock valued at $23,454,297,000 after purchasing an additional 124,849,603 shares during the last quarter. Cardano Risk Management B.V. boosted its position in NVIDIA by 896.4% in the fourth quarter. Cardano Risk Management B.V. now owns 78,123,960 shares of the computer hardware maker’s stock valued at $14,570,119,000 after buying an additional 70,283,539 shares in the last quarter. Capital Research Global Investors boosted its position in NVIDIA by 16.1% in the third quarter. Capital Research Global Investors now owns 165,377,852 shares of the computer hardware maker’s stock valued at $30,855,564,000 after buying an additional 22,896,705 shares in the last quarter. Finally, Laurel Wealth Advisors LLC grew its stake in NVIDIA by 15,496.1% during the second quarter. Laurel Wealth Advisors LLC now owns 21,865,525 shares of the computer hardware maker’s stock worth $3,454,534,000 after buying an additional 21,725,326 shares during the last quarter. 65.27% of the stock is currently owned by institutional investors.
Wall Street Analyst Weigh In A number of research analysts have recently issued reports on NVDA shares. President Capital lifted their target price on shares of NVIDIA from $280.00 to $295.00 and gave the company a “buy” rating in a research note on Thursday, May 21st. Weiss Ratings reaffirmed a “buy (b)” rating on shares of NVIDIA in a report on Wednesday, July 8th. Wolfe Research reissued an “outperform” rating and issued a $275.00 price objective on shares of NVIDIA in a research note on Thursday, May 21st. Evercore restated an “outperform” rating and set a $413.00 target price (up from $352.00) on shares of NVIDIA in a report on Thursday, May 21st. Finally, Wall Street Zen lowered NVIDIA from a “strong-buy” rating to a “buy” rating in a research note on Saturday, July 4th. Three equities research analysts have rated the stock with a Strong Buy rating, forty-eight have assigned a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat.com, NVIDIA has an average rating of “Buy” and an average price target of $304.26.
Get Our Latest Research Report on NVDA
Insider Activity at NVIDIA In related news, Director Stephen C. Neal sold 15,500 shares of the firm’s stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $215.73, for a total transaction of $3,343,815.00. Following the sale, the director owned 116,135 shares of the company’s stock, valued at approximately $25,053,803.55. This trade represents a 11.77% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Mark A. Stevens sold 885,000 shares of NVIDIA stock in a transaction dated Thursday, June 18th. The stock was sold at an average price of $210.17, for a total value of $186,000,450.00. Following the transaction, the director owned 5,207,271 shares in the company, valued at approximately $1,094,412,146.07. This represents a 14.53% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 1,901,125 shares of company stock worth $410,583,015 in the last quarter. Corporate insiders own 3.94% of the company’s stock.
NVIDIA Stock Up 0.3% NASDAQ:NVDA opened at $197.01 on Wednesday. The company has a quick ratio of 2.85, a current ratio of 3.44 and a debt-to-equity ratio of 0.04. NVIDIA Corporation has a 12-month low of $164.07 and a 12-month high of $236.54. The stock’s fifty day simple moving average is $206.86 and its 200-day simple moving average is $195.98. The firm has a market capitalization of $4.77 trillion, a P/E ratio of 30.17, a P/E/G ratio of 0.38 and a beta of 2.21.
NVIDIA (NASDAQ:NVDA – Get Free Report) last issued its earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.76 by $0.11. The firm had revenue of $81.61 billion for the quarter, compared to analysts’ expectations of $78.42 billion. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The company’s revenue was up 85.2% compared to the same quarter last year. During the same quarter last year, the business earned $0.81 earnings per share. Equities research analysts expect that NVIDIA Corporation will post 8.79 earnings per share for the current year.
NVIDIA Increases Dividend The company also recently disclosed a quarterly dividend, which was paid on Friday, June 26th. Investors of record on Thursday, June 4th were given a $0.25 dividend. The ex-dividend date was Thursday, June 4th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.5%. This is an increase from NVIDIA’s previous quarterly dividend of $0.01. NVIDIA’s dividend payout ratio is currently 15.31%.
NVIDIA declared that its Board of Directors has authorized a share buyback plan on Wednesday, May 20th that authorizes the company to repurchase $80.00 billion in outstanding shares. This repurchase authorization authorizes the computer hardware maker to buy up to 1.5% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s board believes its stock is undervalued.
Trending Headlines about NVIDIA Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: CEO Jensen Huang is emphasizing robotics and “physical AI” as the next major growth market, spanning autonomous machines, vehicles, factories and data centers. The company’s expanded Agent Toolkit, PhysicsNeMo and CUDA-X libraries are also being adopted by Cadence, Siemens, Synopsys, Samsung and Silvaco, supporting a broader software-and-platform ecosystem beyond GPU sales. NVIDIA robotics growth article Positive Sentiment: New strategic relationships with Safe Superintelligence, OpenAI, NAVER and other infrastructure partners could increase demand for NVIDIA’s Vera Rubin and Blackwell systems. Analysts remain broadly bullish, with reported price targets well above current trading levels. NVIDIA Safe Superintelligence investment article Neutral Sentiment: NVIDIA is reportedly discussing a potential backstop of up to $250 billion for OpenAI’s Ohio data-center project, alongside a much larger overall infrastructure plan. The arrangement could lock in substantial future chip demand, but it would also expand NVIDIA’s role from supplier to financier and expose it to OpenAI’s creditworthiness and project-execution risks. NVIDIA OpenAI financing article Negative Sentiment: Investors remain concerned that vendor-backed AI infrastructure spending represents circular financing rather than organic customer demand. Reports that NVIDIA could guarantee OpenAI-related obligations helped trigger a broad chip-stock selloff, while rising default-insurance costs have intensified balance-sheet concerns. NVIDIA default insurance costs article Negative Sentiment: Taiwanese authorities reportedly detained an NVIDIA employee in a probe involving alleged diversion of Super Micro AI servers to China. Although no wrongdoing by NVIDIA has been established, the investigation raises additional export-control, legal and reputational risks. Intensifying Chinese competition and weakness across Asian chip stocks are adding pressure to the sector. Taiwan NVIDIA employee investigation article NVIDIA Profile (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
Read More Five stocks we like better than NVIDIA These 3 Stocks Have Soared in 2026—Can They Keep Climbing? Hasbro’s Earnings Beat Shows Why This Is No Longer Just a Toy Story Rambus: Another AI Phoenix Ready to Rise From the Ashes of Correction Chips & Clips: Memory Tariffs Rewire Tech Supply Chains Want to see what other hedge funds are holding NVDA? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for NVIDIA Corporation (NASDAQ:NVDA – Free Report).
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Gerald Baker Financial Group LLC bought a new stake in NVIDIA Corporation (NASDAQ:NVDA – Free Report) during the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor bought 31,372 shares of the computer hardware maker’s stock, valued at approximately $5,471,000. NVIDIA makes up approximately 1.8% of Gerald Baker Financial Group LLC’s holdings, making the stock its 17th biggest position.
A number of other large investors have also recently bought and sold shares of the stock. Norges Bank acquired a new stake in shares of NVIDIA during the fourth quarter valued at $62,244,133,000. J. Stern & Co. LLP increased its position in NVIDIA by 13,709.1% during the 4th quarter. J. Stern & Co. LLP now owns 125,760,307 shares of the computer hardware maker’s stock worth $23,454,297,000 after purchasing an additional 124,849,603 shares in the last quarter. Cardano Risk Management B.V. raised its stake in NVIDIA by 896.4% in the 4th quarter. Cardano Risk Management B.V. now owns 78,123,960 shares of the computer hardware maker’s stock valued at $14,570,119,000 after purchasing an additional 70,283,539 shares during the last quarter. Capital Research Global Investors lifted its holdings in NVIDIA by 16.1% in the 3rd quarter. Capital Research Global Investors now owns 165,377,852 shares of the computer hardware maker’s stock valued at $30,855,564,000 after purchasing an additional 22,896,705 shares in the last quarter. Finally, Laurel Wealth Advisors LLC lifted its holdings in NVIDIA by 15,496.1% in the 2nd quarter. Laurel Wealth Advisors LLC now owns 21,865,525 shares of the computer hardware maker’s stock valued at $3,454,534,000 after purchasing an additional 21,725,326 shares in the last quarter. Institutional investors and hedge funds own 65.27% of the company’s stock.
Key Stories Impacting NVIDIA Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: CEO Jensen Huang is emphasizing robotics and “physical AI” as the next major growth market, spanning autonomous machines, vehicles, factories and data centers. The company’s expanded Agent Toolkit, PhysicsNeMo and CUDA-X libraries are also being adopted by Cadence, Siemens, Synopsys, Samsung and Silvaco, supporting a broader software-and-platform ecosystem beyond GPU sales. NVIDIA robotics growth article Positive Sentiment: New strategic relationships with Safe Superintelligence, OpenAI, NAVER and other infrastructure partners could increase demand for NVIDIA’s Vera Rubin and Blackwell systems. Analysts remain broadly bullish, with reported price targets well above current trading levels. NVIDIA Safe Superintelligence investment article Neutral Sentiment: NVIDIA is reportedly discussing a potential backstop of up to $250 billion for OpenAI’s Ohio data-center project, alongside a much larger overall infrastructure plan. The arrangement could lock in substantial future chip demand, but it would also expand NVIDIA’s role from supplier to financier and expose it to OpenAI’s creditworthiness and project-execution risks. NVIDIA OpenAI financing article Negative Sentiment: Investors remain concerned that vendor-backed AI infrastructure spending represents circular financing rather than organic customer demand. Reports that NVIDIA could guarantee OpenAI-related obligations helped trigger a broad chip-stock selloff, while rising default-insurance costs have intensified balance-sheet concerns. NVIDIA default insurance costs article Negative Sentiment: Taiwanese authorities reportedly detained an NVIDIA employee in a probe involving alleged diversion of Super Micro AI servers to China. Although no wrongdoing by NVIDIA has been established, the investigation raises additional export-control, legal and reputational risks. Intensifying Chinese competition and weakness across Asian chip stocks are adding pressure to the sector. Taiwan NVIDIA employee investigation article Wall Street Analyst Weigh In A number of equities research analysts have recently commented on NVDA shares. Argus lifted their price target on shares of NVIDIA from $220.00 to $270.00 and gave the stock a “buy” rating in a report on Thursday, May 21st. CICC Research upped their price objective on shares of NVIDIA from $240.60 to $268.30 and gave the company an “outperform” rating in a research note on Friday, May 22nd. Barclays restated an “overweight” rating on shares of NVIDIA in a research report on Thursday, May 21st. Bank of America reaffirmed a “buy” rating and issued a $350.00 target price (up from $320.00) on shares of NVIDIA in a research note on Thursday, May 21st. Finally, Wells Fargo & Company reiterated an “overweight” rating and issued a $315.00 price target (up from $265.00) on shares of NVIDIA in a report on Tuesday, May 12th. Three analysts have rated the stock with a Strong Buy rating, forty-eight have given a Buy rating and two have given a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Buy” and a consensus target price of $304.26.
View Our Latest Stock Report on NVIDIA
Insider Buying and Selling at NVIDIA In other news, Director Mark A. Stevens sold 885,000 shares of the stock in a transaction on Thursday, June 18th. The shares were sold at an average price of $210.17, for a total value of $186,000,450.00. Following the completion of the sale, the director owned 5,207,271 shares of the company’s stock, valued at $1,094,412,146.07. This represents a 14.53% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Stephen C. Neal sold 15,500 shares of NVIDIA stock in a transaction on Wednesday, June 3rd. The shares were sold at an average price of $215.73, for a total transaction of $3,343,815.00. Following the transaction, the director owned 116,135 shares in the company, valued at $25,053,803.55. The trade was a 11.77% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 1,901,125 shares of company stock valued at $410,583,015 over the last ninety days. Corporate insiders own 3.94% of the company’s stock.
NVIDIA Price Performance NVDA stock opened at $197.01 on Wednesday. The company has a market cap of $4.77 trillion, a PE ratio of 30.17, a price-to-earnings-growth ratio of 0.38 and a beta of 2.21. The company has a current ratio of 3.44, a quick ratio of 2.85 and a debt-to-equity ratio of 0.04. The stock has a 50-day moving average price of $206.86 and a two-hundred day moving average price of $195.98. NVIDIA Corporation has a 12-month low of $164.07 and a 12-month high of $236.54.
NVIDIA (NASDAQ:NVDA – Get Free Report) last released its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, topping analysts’ consensus estimates of $1.76 by $0.11. The company had revenue of $81.61 billion for the quarter, compared to the consensus estimate of $78.42 billion. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The company’s quarterly revenue was up 85.2% compared to the same quarter last year. During the same period last year, the business posted $0.81 EPS. As a group, research analysts predict that NVIDIA Corporation will post 8.79 EPS for the current year.
NVIDIA Increases Dividend The firm also recently declared a quarterly dividend, which was paid on Friday, June 26th. Investors of record on Thursday, June 4th were issued a $0.25 dividend. The ex-dividend date was Thursday, June 4th. This is a positive change from NVIDIA’s previous quarterly dividend of $0.01. This represents a $1.00 annualized dividend and a yield of 0.5%. NVIDIA’s payout ratio is 15.31%.
NVIDIA declared that its Board of Directors has approved a share buyback program on Wednesday, May 20th that authorizes the company to buyback $80.00 billion in outstanding shares. This buyback authorization authorizes the computer hardware maker to buy up to 1.5% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s board of directors believes its stock is undervalued.
About NVIDIA (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
Read More Five stocks we like better than NVIDIA These 3 Stocks Have Soared in 2026—Can They Keep Climbing? Hasbro’s Earnings Beat Shows Why This Is No Longer Just a Toy Story Rambus: Another AI Phoenix Ready to Rise From the Ashes of Correction Chips & Clips: Memory Tariffs Rewire Tech Supply Chains Want to see what other hedge funds are holding NVDA? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for NVIDIA Corporation (NASDAQ:NVDA – Free Report).
Receive News & Ratings for NVIDIA Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for NVIDIA and related companies with MarketBeat.com's FREE daily email newsletter.
Cornerstone Planning Group zvýšila v 1. čtvrtletí podíl v NVIDIA o 10,5 % a nakoupila dalších 3 238 akcií. Nyní drží 34 056 akcií v hodnotě 5,939 milionu USD.
Cornerstone Planning Group LLC raised its stake in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 10.5% during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 34,056 shares of the computer hardware maker’s stock after acquiring an additional 3,238 shares during the period. NVIDIA makes up 0.8% of Cornerstone Planning Group LLC’s portfolio, making the stock its 25th biggest position. Cornerstone Planning Group LLC’s holdings in NVIDIA were worth $5,939,000 as of its most recent filing with the Securities and Exchange Commission.
A number of other institutional investors have also recently made changes to their positions in the company. State Street Corp increased its holdings in shares of NVIDIA by 1.2% in the 4th quarter. State Street Corp now owns 991,480,489 shares of the computer hardware maker’s stock worth $184,911,111,000 after purchasing an additional 11,451,386 shares in the last quarter. Geode Capital Management LLC increased its position in shares of NVIDIA by 0.6% during the 4th quarter. Geode Capital Management LLC now owns 588,803,093 shares of the computer hardware maker’s stock valued at $109,446,217,000 after purchasing an additional 3,383,441 shares during the last quarter. Norges Bank bought a new position in NVIDIA in the fourth quarter worth approximately $62,244,133,000. Bank of America Corp DE raised its holdings in NVIDIA by 1.5% in the 4th quarter. Bank of America Corp DE now owns 187,181,484 shares of the computer hardware maker’s stock worth $34,909,347,000 after purchasing an additional 2,849,678 shares during the period. Finally, Legal & General Group Plc lifted its position in shares of NVIDIA by 1.5% during the 3rd quarter. Legal & General Group Plc now owns 181,203,035 shares of the computer hardware maker’s stock valued at $33,808,862,000 after buying an additional 2,609,560 shares in the last quarter. Hedge funds and other institutional investors own 65.27% of the company’s stock.
Wall Street Analysts Forecast Growth A number of research analysts recently weighed in on the stock. Weiss Ratings restated a “buy (b)” rating on shares of NVIDIA in a research note on Wednesday, July 8th. Royal Bank Of Canada set a $280.00 price objective on shares of NVIDIA in a research note on Thursday, May 21st. Sanford C. Bernstein reissued a “buy” rating on shares of NVIDIA in a research note on Monday, June 29th. DA Davidson reiterated a “buy” rating and set a $300.00 target price on shares of NVIDIA in a report on Monday, June 1st. Finally, Zacks Research upgraded shares of NVIDIA from a “hold” rating to a “strong-buy” rating in a report on Monday, July 20th. Three investment analysts have rated the stock with a Strong Buy rating, forty-eight have issued a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, NVIDIA has a consensus rating of “Buy” and an average target price of $304.26.
View Our Latest Stock Analysis on NVIDIA
Insider Buying and Selling at NVIDIA In other news, Director Stephen C. Neal sold 15,500 shares of the firm’s stock in a transaction dated Wednesday, June 3rd. The stock was sold at an average price of $215.73, for a total transaction of $3,343,815.00. Following the sale, the director directly owned 116,135 shares in the company, valued at $25,053,803.55. This trade represents a 11.77% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Mark A. Stevens sold 885,000 shares of NVIDIA stock in a transaction dated Thursday, June 18th. The shares were sold at an average price of $210.17, for a total value of $186,000,450.00. Following the completion of the transaction, the director owned 5,207,271 shares of the company’s stock, valued at approximately $1,094,412,146.07. This represents a 14.53% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 1,901,125 shares of company stock valued at $410,583,015. Corporate insiders own 3.94% of the company’s stock.
Trending Headlines about NVIDIA Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: CEO Jensen Huang is emphasizing robotics and “physical AI” as the next major growth market, spanning autonomous machines, vehicles, factories and data centers. The company’s expanded Agent Toolkit, PhysicsNeMo and CUDA-X libraries are also being adopted by Cadence, Siemens, Synopsys, Samsung and Silvaco, supporting a broader software-and-platform ecosystem beyond GPU sales. NVIDIA robotics growth article Positive Sentiment: New strategic relationships with Safe Superintelligence, OpenAI, NAVER and other infrastructure partners could increase demand for NVIDIA’s Vera Rubin and Blackwell systems. Analysts remain broadly bullish, with reported price targets well above current trading levels. NVIDIA Safe Superintelligence investment article Neutral Sentiment: NVIDIA is reportedly discussing a potential backstop of up to $250 billion for OpenAI’s Ohio data-center project, alongside a much larger overall infrastructure plan. The arrangement could lock in substantial future chip demand, but it would also expand NVIDIA’s role from supplier to financier and expose it to OpenAI’s creditworthiness and project-execution risks. NVIDIA OpenAI financing article Negative Sentiment: Investors remain concerned that vendor-backed AI infrastructure spending represents circular financing rather than organic customer demand. Reports that NVIDIA could guarantee OpenAI-related obligations helped trigger a broad chip-stock selloff, while rising default-insurance costs have intensified balance-sheet concerns. NVIDIA default insurance costs article Negative Sentiment: Taiwanese authorities reportedly detained an NVIDIA employee in a probe involving alleged diversion of Super Micro AI servers to China. Although no wrongdoing by NVIDIA has been established, the investigation raises additional export-control, legal and reputational risks. Intensifying Chinese competition and weakness across Asian chip stocks are adding pressure to the sector. Taiwan NVIDIA employee investigation article NVIDIA Trading Up 0.3% NVIDIA stock opened at $197.01 on Wednesday. The firm has a market cap of $4.77 trillion, a PE ratio of 30.17, a P/E/G ratio of 0.38 and a beta of 2.21. NVIDIA Corporation has a 12 month low of $164.07 and a 12 month high of $236.54. The stock’s 50 day simple moving average is $206.86 and its two-hundred day simple moving average is $195.98. The company has a current ratio of 3.44, a quick ratio of 2.85 and a debt-to-equity ratio of 0.04.
NVIDIA (NASDAQ:NVDA – Get Free Report) last posted its earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share for the quarter, beating the consensus estimate of $1.76 by $0.11. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The firm had revenue of $81.61 billion during the quarter, compared to analyst estimates of $78.42 billion. During the same period in the previous year, the firm earned $0.81 EPS. The business’s quarterly revenue was up 85.2% on a year-over-year basis. Analysts anticipate that NVIDIA Corporation will post 8.79 earnings per share for the current year.
NVIDIA Increases Dividend The company also recently disclosed a quarterly dividend, which was paid on Friday, June 26th. Shareholders of record on Thursday, June 4th were issued a $0.25 dividend. The ex-dividend date of this dividend was Thursday, June 4th. This is a positive change from NVIDIA’s previous quarterly dividend of $0.01. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. NVIDIA’s dividend payout ratio is presently 15.31%.
NVIDIA announced that its board has approved a share buyback plan on Wednesday, May 20th that allows the company to repurchase $80.00 billion in shares. This repurchase authorization allows the computer hardware maker to repurchase up to 1.5% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s board of directors believes its shares are undervalued.
NVIDIA Company Profile (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
Featured Articles Five stocks we like better than NVIDIA These 3 Stocks Have Soared in 2026—Can They Keep Climbing? Hasbro’s Earnings Beat Shows Why This Is No Longer Just a Toy Story Rambus: Another AI Phoenix Ready to Rise From the Ashes of Correction Chips & Clips: Memory Tariffs Rewire Tech Supply Chains
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Forty three Eighteen Advisors LLC lowered its position in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 62.2% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 8,843 shares of the computer hardware maker’s stock after selling 14,539 shares during the quarter. Forty three Eighteen Advisors LLC’s holdings in NVIDIA were worth $1,542,000 at the end of the most recent reporting period.
Several other hedge funds and other institutional investors have also recently bought and sold shares of the company. State Street Corp raised its position in NVIDIA by 1.2% in the fourth quarter. State Street Corp now owns 991,480,489 shares of the computer hardware maker’s stock valued at $184,911,111,000 after purchasing an additional 11,451,386 shares during the period. Geode Capital Management LLC increased its position in shares of NVIDIA by 0.6% during the 4th quarter. Geode Capital Management LLC now owns 588,803,093 shares of the computer hardware maker’s stock worth $109,446,217,000 after purchasing an additional 3,383,441 shares during the last quarter. Norges Bank acquired a new stake in shares of NVIDIA during the 4th quarter worth about $62,244,133,000. Bank of America Corp DE raised its holdings in NVIDIA by 1.5% in the 4th quarter. Bank of America Corp DE now owns 187,181,484 shares of the computer hardware maker’s stock valued at $34,909,347,000 after buying an additional 2,849,678 shares during the period. Finally, Legal & General Group Plc raised its holdings in NVIDIA by 1.5% in the 3rd quarter. Legal & General Group Plc now owns 181,203,035 shares of the computer hardware maker’s stock valued at $33,808,862,000 after buying an additional 2,609,560 shares during the period. 65.27% of the stock is currently owned by institutional investors and hedge funds.
NVIDIA Stock Performance Shares of NVDA opened at $197.01 on Wednesday. The company has a market capitalization of $4.77 trillion, a price-to-earnings ratio of 30.17, a price-to-earnings-growth ratio of 0.38 and a beta of 2.21. NVIDIA Corporation has a 52-week low of $164.07 and a 52-week high of $236.54. The company has a quick ratio of 2.85, a current ratio of 3.44 and a debt-to-equity ratio of 0.04. The stock has a 50 day moving average price of $206.86 and a 200 day moving average price of $195.98.
NVIDIA (NASDAQ:NVDA – Get Free Report) last released its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share for the quarter, topping analysts’ consensus estimates of $1.76 by $0.11. The company had revenue of $81.61 billion for the quarter, compared to analysts’ expectations of $78.42 billion. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The firm’s revenue for the quarter was up 85.2% on a year-over-year basis. During the same quarter last year, the company earned $0.81 earnings per share. Research analysts predict that NVIDIA Corporation will post 8.79 EPS for the current fiscal year.
NVIDIA announced that its Board of Directors has authorized a share buyback plan on Wednesday, May 20th that permits the company to repurchase $80.00 billion in shares. This repurchase authorization permits the computer hardware maker to buy up to 1.5% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company’s management believes its shares are undervalued.
NVIDIA Increases Dividend The business also recently declared a quarterly dividend, which was paid on Friday, June 26th. Investors of record on Thursday, June 4th were paid a dividend of $0.25 per share. The ex-dividend date was Thursday, June 4th. This represents a $1.00 annualized dividend and a yield of 0.5%. This is an increase from NVIDIA’s previous quarterly dividend of $0.01. NVIDIA’s dividend payout ratio (DPR) is 15.31%.
Insider Activity at NVIDIA In other news, Director Stephen C. Neal sold 15,500 shares of NVIDIA stock in a transaction dated Wednesday, June 3rd. The stock was sold at an average price of $215.73, for a total transaction of $3,343,815.00. Following the sale, the director owned 116,135 shares in the company, valued at approximately $25,053,803.55. The trade was a 11.77% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Mark A. Stevens sold 885,000 shares of the business’s stock in a transaction dated Thursday, June 18th. The shares were sold at an average price of $210.17, for a total value of $186,000,450.00. Following the completion of the sale, the director directly owned 5,207,271 shares of the company’s stock, valued at $1,094,412,146.07. The trade was a 14.53% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 1,901,125 shares of company stock valued at $410,583,015 over the last ninety days. Insiders own 3.94% of the company’s stock.
NVIDIA News Summary Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: CEO Jensen Huang is emphasizing robotics and “physical AI” as the next major growth market, spanning autonomous machines, vehicles, factories and data centers. The company’s expanded Agent Toolkit, PhysicsNeMo and CUDA-X libraries are also being adopted by Cadence, Siemens, Synopsys, Samsung and Silvaco, supporting a broader software-and-platform ecosystem beyond GPU sales. NVIDIA robotics growth article Positive Sentiment: New strategic relationships with Safe Superintelligence, OpenAI, NAVER and other infrastructure partners could increase demand for NVIDIA’s Vera Rubin and Blackwell systems. Analysts remain broadly bullish, with reported price targets well above current trading levels. NVIDIA Safe Superintelligence investment article Neutral Sentiment: NVIDIA is reportedly discussing a potential backstop of up to $250 billion for OpenAI’s Ohio data-center project, alongside a much larger overall infrastructure plan. The arrangement could lock in substantial future chip demand, but it would also expand NVIDIA’s role from supplier to financier and expose it to OpenAI’s creditworthiness and project-execution risks. NVIDIA OpenAI financing article Negative Sentiment: Investors remain concerned that vendor-backed AI infrastructure spending represents circular financing rather than organic customer demand. Reports that NVIDIA could guarantee OpenAI-related obligations helped trigger a broad chip-stock selloff, while rising default-insurance costs have intensified balance-sheet concerns. NVIDIA default insurance costs article Negative Sentiment: Taiwanese authorities reportedly detained an NVIDIA employee in a probe involving alleged diversion of Super Micro AI servers to China. Although no wrongdoing by NVIDIA has been established, the investigation raises additional export-control, legal and reputational risks. Intensifying Chinese competition and weakness across Asian chip stocks are adding pressure to the sector. Taiwan NVIDIA employee investigation article Analyst Ratings Changes Several research analysts have weighed in on the stock. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and set a $255.00 target price (up from $220.00) on shares of NVIDIA in a research note on Thursday, May 21st. Barclays reissued an “overweight” rating on shares of NVIDIA in a research note on Thursday, May 21st. Sanford C. Bernstein restated a “buy” rating on shares of NVIDIA in a report on Monday, June 29th. Itau BBA Securities lowered their price objective on shares of NVIDIA from $256.00 to $218.00 in a research report on Wednesday, June 24th. Finally, The Goldman Sachs Group reiterated a “buy” rating and issued a $285.00 target price (up from $250.00) on shares of NVIDIA in a report on Wednesday, May 20th. Three investment analysts have rated the stock with a Strong Buy rating, forty-eight have issued a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Buy” and an average price target of $304.26.
Check Out Our Latest Report on NVIDIA
NVIDIA Profile (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
Recommended Stories Five stocks we like better than NVIDIA These 3 Stocks Have Soared in 2026—Can They Keep Climbing? Hasbro’s Earnings Beat Shows Why This Is No Longer Just a Toy Story Rambus: Another AI Phoenix Ready to Rise From the Ashes of Correction Chips & Clips: Memory Tariffs Rewire Tech Supply Chains Want to see what other hedge funds are holding NVDA? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for NVIDIA Corporation (NASDAQ:NVDA – Free Report).
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Financiere des Professionnels Fonds d'investissement inc. v 1. čtvrtletí zvýšila podíl v NVIDIA o 110,1 % na 453 364 akcií. Akcie tvoří 4,6 % portfolia fondu.
Financiere des Professionnels Fonds d investissement inc. grew its holdings in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 110.1% during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 453,364 shares of the computer hardware maker’s stock after purchasing an additional 237,539 shares during the quarter. NVIDIA makes up approximately 4.6% of Financiere des Professionnels Fonds d investissement inc.’s portfolio, making the stock its 4th largest holding. Financiere des Professionnels Fonds d investissement inc.’s holdings in NVIDIA were worth $79,067,000 as of its most recent SEC filing.
A number of other hedge funds have also modified their holdings of NVDA. Brighton Jones LLC grew its holdings in NVIDIA by 12.4% during the 4th quarter. Brighton Jones LLC now owns 324,901 shares of the computer hardware maker’s stock valued at $43,631,000 after buying an additional 35,815 shares during the last quarter. Bank Pictet & Cie Europe AG raised its holdings in shares of NVIDIA by 1.0% in the fourth quarter. Bank Pictet & Cie Europe AG now owns 2,346,417 shares of the computer hardware maker’s stock worth $315,100,000 after acquiring an additional 22,929 shares during the last quarter. Highview Capital Management LLC DE lifted its position in shares of NVIDIA by 6.7% in the fourth quarter. Highview Capital Management LLC DE now owns 58,396 shares of the computer hardware maker’s stock valued at $7,842,000 after acquiring an additional 3,653 shares in the last quarter. Hudson Value Partners LLC lifted its position in shares of NVIDIA by 30.7% in the fourth quarter. Hudson Value Partners LLC now owns 50,658 shares of the computer hardware maker’s stock valued at $6,805,000 after acquiring an additional 11,900 shares in the last quarter. Finally, Wealth Group Ltd. boosted its stake in shares of NVIDIA by 15.7% during the first quarter. Wealth Group Ltd. now owns 6,598 shares of the computer hardware maker’s stock valued at $715,000 after acquiring an additional 896 shares during the last quarter. 65.27% of the stock is owned by hedge funds and other institutional investors.
Insider Transactions at NVIDIA In related news, Director Stephen C. Neal sold 15,500 shares of the stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $215.73, for a total transaction of $3,343,815.00. Following the completion of the sale, the director owned 116,135 shares of the company’s stock, valued at approximately $25,053,803.55. This represents a 11.77% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Mark A. Stevens sold 885,000 shares of the firm’s stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $210.17, for a total transaction of $186,000,450.00. Following the completion of the transaction, the director owned 5,207,271 shares in the company, valued at $1,094,412,146.07. The trade was a 14.53% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 1,901,125 shares of company stock worth $410,583,015. 3.94% of the stock is currently owned by company insiders.
Analyst Upgrades and Downgrades Several brokerages recently weighed in on NVDA. Morgan Stanley set a $288.00 target price on shares of NVIDIA and gave the company an “overweight” rating in a research note on Thursday, May 21st. Daiwa Securities Group boosted their price objective on shares of NVIDIA from $215.00 to $255.00 and gave the company an “outperform” rating in a research report on Friday, May 22nd. HSBC reissued a “buy” rating and set a $325.00 price objective (up from $295.00) on shares of NVIDIA in a research note on Tuesday, May 19th. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and issued a $255.00 target price (up from $220.00) on shares of NVIDIA in a research note on Thursday, May 21st. Finally, Rosenblatt Securities restated a “buy” rating and set a $325.00 price objective on shares of NVIDIA in a report on Thursday, May 21st. Three investment analysts have rated the stock with a Strong Buy rating, forty-eight have issued a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat, NVIDIA presently has an average rating of “Buy” and a consensus price target of $304.26.
Check Out Our Latest Stock Analysis on NVDA
NVIDIA Stock Up 0.3% Shares of NVDA opened at $197.01 on Wednesday. NVIDIA Corporation has a fifty-two week low of $164.07 and a fifty-two week high of $236.54. The company’s fifty day moving average is $206.86 and its two-hundred day moving average is $195.98. The firm has a market cap of $4.77 trillion, a PE ratio of 30.17, a price-to-earnings-growth ratio of 0.38 and a beta of 2.21. The company has a quick ratio of 2.85, a current ratio of 3.44 and a debt-to-equity ratio of 0.04.
NVIDIA (NASDAQ:NVDA – Get Free Report) last released its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, topping analysts’ consensus estimates of $1.76 by $0.11. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The business had revenue of $81.61 billion during the quarter, compared to the consensus estimate of $78.42 billion. During the same period in the prior year, the firm posted $0.81 EPS. The business’s revenue for the quarter was up 85.2% on a year-over-year basis. Analysts forecast that NVIDIA Corporation will post 8.79 earnings per share for the current year.
NVIDIA announced that its Board of Directors has initiated a stock repurchase plan on Wednesday, May 20th that authorizes the company to repurchase $80.00 billion in shares. This repurchase authorization authorizes the computer hardware maker to repurchase up to 1.5% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s management believes its shares are undervalued.
NVIDIA Increases Dividend The company also recently disclosed a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Thursday, June 4th were paid a $0.25 dividend. The ex-dividend date of this dividend was Thursday, June 4th. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. This is an increase from NVIDIA’s previous quarterly dividend of $0.01. NVIDIA’s dividend payout ratio is presently 15.31%.
NVIDIA News Roundup Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: CEO Jensen Huang is emphasizing robotics and “physical AI” as the next major growth market, spanning autonomous machines, vehicles, factories and data centers. The company’s expanded Agent Toolkit, PhysicsNeMo and CUDA-X libraries are also being adopted by Cadence, Siemens, Synopsys, Samsung and Silvaco, supporting a broader software-and-platform ecosystem beyond GPU sales. NVIDIA robotics growth article Positive Sentiment: New strategic relationships with Safe Superintelligence, OpenAI, NAVER and other infrastructure partners could increase demand for NVIDIA’s Vera Rubin and Blackwell systems. Analysts remain broadly bullish, with reported price targets well above current trading levels. NVIDIA Safe Superintelligence investment article Neutral Sentiment: NVIDIA is reportedly discussing a potential backstop of up to $250 billion for OpenAI’s Ohio data-center project, alongside a much larger overall infrastructure plan. The arrangement could lock in substantial future chip demand, but it would also expand NVIDIA’s role from supplier to financier and expose it to OpenAI’s creditworthiness and project-execution risks. NVIDIA OpenAI financing article Negative Sentiment: Investors remain concerned that vendor-backed AI infrastructure spending represents circular financing rather than organic customer demand. Reports that NVIDIA could guarantee OpenAI-related obligations helped trigger a broad chip-stock selloff, while rising default-insurance costs have intensified balance-sheet concerns. NVIDIA default insurance costs article Negative Sentiment: Taiwanese authorities reportedly detained an NVIDIA employee in a probe involving alleged diversion of Super Micro AI servers to China. Although no wrongdoing by NVIDIA has been established, the investigation raises additional export-control, legal and reputational risks. Intensifying Chinese competition and weakness across Asian chip stocks are adding pressure to the sector. Taiwan NVIDIA employee investigation article About NVIDIA (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
Featured Stories Five stocks we like better than NVIDIA These 3 Stocks Have Soared in 2026—Can They Keep Climbing? Hasbro’s Earnings Beat Shows Why This Is No Longer Just a Toy Story Rambus: Another AI Phoenix Ready to Rise From the Ashes of Correction Chips & Clips: Memory Tariffs Rewire Tech Supply Chains
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NVIDIA jedná o záruku úvěru za 250 miliard USD pro OpenAI, aby podpořila 10gigawattový pronájem datových center SoftBank v Ohiu. Akcie NVIDIA po zprávě klesly.
Investors allocating capital to the artificial intelligence sector are facing a complex transition in market mechanics. The early phase of the AI infrastructure boom relied heavily on organic hardware procurement, with hyperscalers purchasing silicon outright to build generative models.
Today, the physical economy underlying these digital networks is shifting toward a highly leveraged, vendor-financed credit cycle. Mega-cap semiconductor providers find themselves stepping in to guarantee immense counterparty debt to sustain client buildouts. Primary hyperscalers are actively maneuvering to capture infrastructure premiums, cannibalizing specialized cloud vendors in the process. Understanding how these capital expenditures impact balance sheets helps clarify where the structural integrity of peak demand might be fracturing.
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Co-Signing the Future: NVIDIA's $250B Credit WrapNVIDIA Today
$192.24 -4.78 (-2.42%)
As of 10:19 AM Eastern
This is a fair market value price provided by Massive. Learn more.
52-Week Range$164.07▼
$236.54Dividend Yield0.52%
P/E Ratio29.42
Price Target$304.26
For years, chipmakers operated on a highly efficient business model. They designed advanced processors, contracted fabrication, and sold the hardware to top-tier technology firms. That dynamic is experiencing a structural evolution. NVIDIA NASDAQ: NVDA recently entered negotiations to provide a $250 billion credit wrap to backstop OpenAI's 10-gigawatt SoftBank data center lease in Ohio.
Because OpenAI lacks an investment-grade credit rating, the artificial intelligence (AI) research laboratory requires external balance sheets to secure physical data center leases at this unprecedented scale. Think of it like co-signing a mortgage for an entity that lacks the required credit score, except this entity wants to build a multi-billion-dollar AI factory.
Discussions also include an additional $350 billion in financing specifically for silicon, bringing the total project scope to over $500 billion. The market reacted sharply to the sheer scale of this contingent liability, sending NVIDIA shares down after the report surfaced.
Looking closely at Q1 fiscal year 2027 data, the picture reveals why the market is aggressively unwinding the equity. NVIDIA posted $58 billion in net income, yet $13.4 billion of that figure stems from unrealized equity gains rather than core operations. Revenue concentration remains a prevailing headwind, with 54% of top-line generation tied to just three hyperscaler clients.
By guaranteeing construction debt and leasing obligations for a privately held, loss-making entity, the hardware designer becomes a systemic infrastructure financier. This aggressive maneuver effectively locks in a captive deployment environment for its next-generation architecture, neutralizing the threat of OpenAI fully transitioning to custom silicon. This strategy relies heavily on perfect execution and uninterrupted compute utilization.
Institutional investors are actively pricing in the counterparty risk. Five-year credit default swap pricing, the cost to insure NVIDIA debt against default, rose by 0.14 percentage points, marking the highest margin expansion on record.
Buying the Customer: The Cost of Artificial DemandThe capital intensity required to secure regional hardware ecosystems extends beyond the region. NVIDIA recently invested $1 billion to secure a 4.5% equity stake in South Korean tech conglomerate Naver. Conducted alongside a $9 billion financing term sheet from Brookfield, this transaction aims to scale the GAK Sejong data center to 200 megawatts by 2028, utilizing proprietary platforms.
These sovereign investments in AI illustrate the immense upfront capital required to maintain market dominance. Acting as a financial backstop secures long-term revenue floors, but it also signals reliance on circular financing, in which NVIDIA absorbs contingent leasing debt to support future silicon demand. The model can work well if customers keep using the capacity and generating cash flow, but it becomes more fragile if end demand weakens.
Stranded Assets: The GPU Rental Market ImplodesOpenAI's push for a proprietary 10-gigawatt campus in Ohio threatens the established hierarchy of cloud computing. This aggressive expansion marks a strategic pivot from renting compute capacity to directly controlling physical infrastructure.
This maneuver directly affects Microsoft NASDAQ: MSFT. Microsoft faces early fractures in its legacy cloud alliances as OpenAI actively maneuvers to decentralize its infrastructure and reduce its reliance on Azure.
CoreWeave Today
$64.31 -2.99 (-4.45%)
As of 10:19 AM Eastern
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52-Week Range$63.80▼
$153.20Price Target$136.25
While hyperscalers navigate shifting alliances, specialized AI infrastructure providers face severe operational distress. CoreWeave NASDAQ: CRWV is a primary example of rapid margin compression in the specialized GPU rental market. CoreWeave is trading well below its recent highs, with a negative earnings multiple and recen t price action that has included a sharp single-session drawdown.
The fundamental breakdown at CoreWeave accelerated following a major structural shift from its largest customer. Meta Platforms NASDAQ: META holds $35.2 billion in infrastructure contracts with CoreWeave. The launch of Meta Compute, a direct commercial cloud service designed to monetize excess capacity, transformed Meta Platforms from a primary buyer into a direct competitor. This introduction poses a structural threat to the independent GPU rental business model, sparking fears of stranded assets across the sector.
A review of CRWV's Q1 2026 fundamentals highlights the acute pressure. CoreWeave reported a widening net loss of $740 million, $536 million in interest expense, and negative free cash flow of $4.7 billion. Total liabilities have scaled to $50.8 billion. Insider action often foreshadows deeper fundamental issues. CoreWeave CEO Michael Intrator executed a series of recent stock sales totaling nearly $55 million, including his most recent sale of $24.07 million on July 21, 2026. This liquidation occurred alongside a pending securities fraud class action regarding data center construction delays, establishing an expanding multi-month pattern of executive selling inside of CoreWeave.
The Contagion Effect: Hedging the AI Supply ChainThe unconstrained AI spending cycle is showing structural fatigue, forcing a harsh repricing of systemic risk across the entire supply chain. Billions in data center asset-backed securities currently sit on the books of private equity-owned insurers. Data center asset-backed securities package leasing contracts into tradable debt. When yields rise, the cost to service this debt balloons, squeezing the underlying operator. If a tenant defaults, the guarantor absorbs the shock. Elevated long-term bond yields continuously threaten the stability of these circular financing loops.
When primary silicon vendors underwrite client infrastructure, it establishes a hard ceiling on unconstrained organic demand. Prominent institutional investors like Michael Burry have heavily increased short positions against the sector, targeting structural vulnerabilities in private credit linked to data center buildouts and semiconductor leases. The synchronized equity contraction across the processor ecosystem indicates a macroeconomic realization that peak data center capital expenditure relies increasingly on unsustainable vendor financing.
Surviving the Silicon Credit CrunchThe transition from hardware vendor to systemic infrastructure financier introduces unprecedented capital risk to balance sheets previously praised for pristine efficiency. The hardware ecosystem lock-in provides a tangible floor for long-term revenue, but the sheer scale of infrastructure financing forces the broader market to question the limits of peak capital expenditure.
Investors tracking the broader compute infrastructure buildout may want to evaluate institutional hedging metrics and insider liquidation patterns to identify structural shifts before they are fully priced into equity valuations.
Cautious market participants might consider waiting for stabilization in neocloud free cash flow metrics and clarity on hyperscaler insourcing before establishing long-term exposure to specialized infrastructure providers.
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Nvidia zůstává pod 200 USD, ale Morningstar vidí férovou hodnotu na úrovni 280 USD, tedy zhruba 40% růstový potenciál. Investoři sledují i obavy kolem financování AI a výsledky velkých technologických firem.
Nvidia shares traded little changed on Tuesday after recovering from early losses, although the stock remained below the psychologically important $200 level.
Investors looked to balance an increasingly attractive valuation against concerns over artificial intelligence financing and upcoming Big Tech earnings.
The stock had fallen sharply in the previous session, losing 5% and surrendering its position as the world's most valuable listed company to Apple.
Despite the recent weakness, Nvidia's valuation has become increasingly attractive.
The stock closed Monday on a forward price-to-earnings ratio of 18.16, its lowest level since April 2015, according to Dow Jones Market Data.
Monday's decline came amid a broader selloff in semiconductor stocks following reports that a Chinese company had begun mass-producing key chipmaking equipment.
Investor sentiment was also weighed down by a Wall Street Journal report that Nvidia is discussing a roughly $250 billion financing guarantee for OpenAI to support a large data centre project in Ohio.
The arrangement would help OpenAI secure more favourable financing terms while supporting long-term demand for Nvidia's artificial intelligence chips.
The report sparked concerns among some investors that financing arrangements between Nvidia and AI customers could resemble the circular investment structures seen during the dotcom era.
Morningstar said it does not believe the reported financing discussions undermine the long-term investment case for Nvidia.
The research firm maintained its $280 fair value estimate for the company and said the shares remain undervalued despite concerns surrounding financing-backed AI infrastructure projects.
The target represents an around 40% upside from the current market price.
Morningstar said demand for artificial intelligence computing continues to expand rapidly, with AI hosting providers remaining constrained by available computing capacity rather than customer demand.
The firm also pointed to AMD's recent increase in its server CPU market forecast as evidence that demand for agentic AI continues to strengthen, supporting the need for additional AI infrastructure over the coming years.
Morningstar said its understanding is that Nvidia already provides financing backstops to some cloud infrastructure providers in exchange for sharing portions of future AI hosting revenue.
According to the firm, a similar arrangement with OpenAI would represent a much larger transaction but would remain consistent with Nvidia's broader strategy of expanding the AI ecosystem and supporting long-term demand for its hardware.
Investor attention has now shifted to quarterly results from major technology companies, which are expected to provide fresh insight into the pace of artificial intelligence investment.
Microsoft, Meta Platforms, and Amazon are scheduled to report earnings this week, with investors expected to closely monitor capital expenditure guidance as an indicator of future demand for Nvidia's processors.
Beyond overall spending levels, investors will also look for commentary on the types of AI hardware companies intend to deploy.
Several large technology companies have increasingly developed custom processors with partners such as Broadcom for specific workloads.
While those chips are designed to complement rather than fully replace Nvidia's graphics processing units, investors continue to monitor whether greater adoption of custom silicon could gradually reduce reliance on third-party suppliers.
Jensen Huang řekl, že „moment ChatGPT“ robotiky už nastal před několika lety a fyzická umělá inteligence otevírá příležitost za 50 bilionů USD. NVIDIA na tom staví své modely pro robotiku i autonomii.
Robotics is moving out of the lab and into the real economy. Speaking at YC Startup School, NVIDIA CEO Jensen Huang made a striking claim about the timing of the next great AI wave. Asked about robotics, he told the audience: “I would say the ChatGPT moment of robots happened a couple of years ago already.” Paired with Huang’s estimate that physical AI opens a $50 trillion market opportunity, the comment reframes robotics as a wave already breaking, not one still waiting offshore.
The Moment Huang Says Changed Everything Huang traced the shift back to generative video work inside NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) labs. “A couple of years earlier, inside our labs, we were driving a simulator completely generated by video, completely generated by neural networks,” he said. The breakthrough came when he connected generated video with physical movement: “If I could generate video of a hand picking up a glass, why can’t I cause a robot to do the same?”
That insight, he said, launched NVIDIA’s push into “a world foundation model, an AI that understands the laws of physics and how the world works.” That strategy now spans Cosmos world foundation models and Isaac GR00T robot foundation models, alongside the DRIVE Hyperion autonomy platform used by Hyundai, Kia, Uber, BYD, Geely, Isuzu, and Nissan.
The Numbers Behind the Thesis The financials say the buildout is real. NVIDIA’s Q1 FY2027 revenue hit $81.615 billion, up 85.23% year over year, with Data Center revenue reaching $75.246 billion, up 92% YoY, and non-GAAP gross margin at 75.0%. Total supply commitments now stand at $119.0 billion, compared with $95.2 billion in the prior quarter, a signal Huang is putting cash behind his conviction. On the company’s last earnings call, he described the AI factory buildout as “the largest infrastructure expansion in human history.” Investors have bought in, though cautiously. Shares are up 12.3% over the past year.
The Memory Beneficiary Every physical AI model needs memory. Micron Technology (NASDAQ:MU) posted Q3 FY2026 revenue of $41.46 billion, up 345.7% year over year, with gross margin expanding to 84.6%. CEO Sanjay Mehrotra said results “reflect the strategic value of memory in the AI era.” Q4 guidance calls for $50.0 billion in revenue. The stock is up 189.5% year to date.
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The Smaller, Riskier Plays Serve Robotics (NASDAQ:SERV) runs roughly 2,000 delivery robots powered by NVIDIA Jetson Orin compute, with Q1 revenue of $2.98 million (up 577.5% YoY) and 2026 guidance near $26 million, quite a jump. Yet the stock trades at $4.68, down 55.2% year to date, versus an analyst target of $18.45.
Arbe Robotics (NASDAQ:ARBE) builds 4D imaging radar and is integrating with NVIDIA’s DRIVE Hyperion platform. Q1 2026 revenue was $0.5 million, and shares sit at $0.64 against an analyst target of $2.50.
If Huang is right that the robotics ChatGPT moment is already behind us, the picks-and-shovels names are showing it first. The smaller autonomy plays remain lottery tickets on whether the $50 trillion tally is closer to self-fulfilling prophecy than hyperbole.
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Tech investors keep seeing and hearing the same headlines about tech companies making their own chips and diversifying away from Nvidia (NVDA -4.97%)'s high-priced products. Initially, it's easy to see why such a scenario may appear to be a troubling one, given that tech giants have the resources to invest in their own chipmaking abilities.
However, these aren't exactly new developments. And there are also many other chipmakers out there, including Broadcom and Advanced Micro Devices, that offer alternatives. But the actual numbers don't really back up the worries that Nvidia is in any serious trouble, at least not yet, anyway. Both its growth rate and its market share remain strong.
It also raises the question of whether the stock, which is among the most valuable in the world and has a market cap of around $5 trillion, could still be a bargain buy.
Image source: Getty Images.
Nvidia continues to dominate the data center market Tech companies are spending big money on data centers, requiring the latest and greatest chips in their build-out efforts. What's remarkable is that even with a growing number of options out there, companies still go to Nvidia. That's evident with a remarkable stat from Futurum Group, which finds that Nvidia dominates the market for data center GPUs, with more than 95% market share.
It's an astounding figure that highlights just how crucial the company's chips are. And Nvidia's growth rate certainly corroborates that, as the business has been doing more than fine in its most recent quarters.
NVDA Revenue (Quarterly YoY Growth) data by YCharts
Is Nvidia's stock a bargain buy? Although Nvidia's market cap, which is often around $5 trillion, may seem high, the company's impressive revenue and profit growth highlight just how reasonably priced the stock is right now. Based on analyst projections, it's trading at less than 24 times its future earnings. By comparison, the average stock on the S&P 500 trades at 21 times its future profits. That means it's trading at only a slightly higher premium than the average stock within the broad index.
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In the long run, Nvidia has potentially even more opportunities to tap into, even if competition does end up cutting into its growth. The massive profits and cash flow it's generating now and in recent years can enable it to invest heavily in the future in new technologies and acquisitions to drive even further growth. That's why, as a long-term investment, it may be a great addition to any portfolio.
David Jagielski, CPA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Advanced Micro Devices, Broadcom, and Nvidia. The Motley Fool has a disclosure policy.
Tchajwanské úřady zadržely zaměstnance společnosti Nvidia v rámci vyšetřování údajného pašování AI serverů do Číny. Podezření se týká i falšování dokumentů.
ToplineProsecutors in Taiwan detained an Nvidia employee as part of an investigation into alleged smuggling of AI servers into China—which were powered by Nvidia’s advanced chips in violation of U.S. export controls—according to multiple reports on Tuesday.
Prosecutors in Taiwan detained an Nvidia staffer as part of a probe into smuggling of advances AI chips into China.
Getty Images
Key FactsIn a statement on Tuesday, Keelung District Prosecutors Office identified the suspect by his surname, Chang, and said he was summoned for questioning after investigators searched his residence and workplace last week.
The statement didn’t mention Chang’s employer’s name, but Bloomberg and Reuters reported they are an Nvidia employee and the search targeted the chipmaker’s Taipei office.
The statement added that after the questioning, the prosecutors determined there was a “strong suspicion of criminal activity” and Chang was detained amid concerns they could flee, destroy evidence or collude with accomplices.
The prosecutor’s statement does not accuse Nvidia or any other company of wrongdoing but notes that the detained employee is suspected of multiple criminal offenses, including falsification of documents.
Forbes has reached out to Nvidia for comment.
As part of the probe, Taiwanese authorities detained several individuals in May and June—including employees of server manufacturer Super Micro—whose co-founder was arrested and charged by the U.S. Justice Department earlier this year in a related case.
What Do We Know About The Super Micro Smuggling Case?In March, the DOJ announced it had charged three people, including Super Micro co-founder Yih-Shyan “Wally” Liaw, with one count of violating U.S. export control law, one count of conspiring to smuggle goods from the U.S. and one count of conspiring to defraud the U.S. The Justice Department alleged that the trio had conspired to illegally divert advanced servers assembled in the U.S. with sophisticated American AI chips to China. Liaw, who is a U.S. citizen, was one of the two people arrested. According to the prosecutors, the three men sold servers equipped with cutting-edge Nvidia AI chips—which are subject to export controls—to China through a Southeast Asian company. The alleged smuggling generated $2.5 billion in revenue for Super Micro. The server maker noted that it was not named as a defendant in the case and said the alleged conduct by the three individuals violated the company’s “policies and compliance controls.” The company also said it had placed Liaw and another staffer on administrative leave and severed ties with the contractor who was charged as part of the probe.
TangentIn a statement shared with Bloomberg, an unnamed Nvidia spokesperson said smuggling was a “nonstarter” for the company and the company sells its products to well-known partners to ensure compliance with export control rules. The spokesperson also said any diverted chips would receive “no service, support or updates.”
further readingSuper Micro Shares Plunge 25% After Co-Founder Charged In $2.5 Billion AI Chip Smuggling Plot (Forbes)
Samsung a SK Hynix prudce oslabily kvůli obavám z financování infrastruktury pro AI a sílící konkurenci z Číny. Akcie SK Hynix v USA uzavřely na 143,02 USD, pod cenou IPO 149 USD.
Item 1 of 3 Computer motherboard and chip appear in this illustration taken August 25, 2025. REUTERS/Dado Ruvic/Illustration
[1/3]Computer motherboard and chip appear in this illustration taken August 25, 2025. REUTERS/Dado Ruvic/Illustration Purchase Licensing Rights, opens new tab
SummaryCompaniesSK Hynix's U.S.-listed shares closed below their $149 listing priceChina's advances in chipmaking and AI fuel worries of stronger competitionSK Hynix shares drop 11%, Samsung shares slide nearly 10% in SeoulSEOUL, July 28 (Reuters) - South Korean chip stocks slumped on Tuesday, with Samsung Electronics (005930.KS), opens new tab and SK Hynix (000660.KS), opens new tab falling as much as 9.5% and 11.1%, respectively, as investors retreated from AI-related stocks amid mounting concerns over financing risks tied to AI infrastructure spending and intensifying competition from China.
SK Hynix's U.S.-listed shares had already slumped overnight, closing at $143.02, below their $149 initial public offering price.
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The benchmark KOSPI (.KS11), opens new tab was trading down around 8% as of 0120 GMT.
The sector-wide selloff followed a series of developments that renewed doubts about the sustainability of the AI-driven semiconductor rally.
SK Hynix, a key supplier of high-bandwidth memory (HBM) chips to Nvidia (NVDA.O), opens new tab, has been one of the biggest beneficiaries of the AI spending boom, making its shares particularly sensitive to shifts in investor sentiment toward the sector.
Analysts said the selloff reflected a combination of concerns over AI infrastructure financing, China's technological advances and rising competition from Chinese firms.
Han Ji-young, an analyst at Kiwoom Securities, said reports that Chinese companies were developing domestic deep ultraviolet (DUV) lithography equipment had reignited concerns that Chinese memory makers could accelerate capacity expansion, intensifying competition in the global memory market.
While details such as the companies involved, equipment performance and commercialization timelines had yet to be disclosed, the news had cooled investor sentiment as the investment narrative for semiconductor stocks had already weakened, he said.
Han added that investors were also becoming increasingly cautious ahead of a string of earnings reports due later this week.
"Despite stronger-than-expected earnings from Samsung Electronics earlier this month and Alphabet last week, semiconductor shares experienced sharp declines after the results," he said.
Separately, a Wall Street Journal report that Nvidia could provide a roughly $250 billion financial backstop for an OpenAI data-centre project sent Nvidia shares down nearly 5%, with investors questioning the extent to which the AI chip leader may be financing its own customers.
Further weighing on sentiment, the growing popularity of low-cost Chinese open-source AI models such as Kimi K3 raised questions about whether future AI workloads could prove less intensive than previously expected — meaning less demand for advanced AI chips and HBM.
Meanwhile, Chinese memory-chip maker CXMT's 688825.SS strong stock-market debut fuelled concerns about intensifying competition in the global memory industry.
The listing came after reports that Apple had been lobbying the Trump administration to allow the use of Chinese-made chips in some of its products, further unsettling investors already concerned about China's growing technological capabilities.
Reporting by Heekyong Yang; Editing by Kevin Buckland
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Nvidia uzavřela poslední obchodní den na 196,51 USD, což představuje pokles o 4,99 %. Investoři sledují nadcházející hospodářské výsledky, kde se očekává EPS 2,09 USD a tržby 91,71 miliardy USD.
Nvidia (NVDA - Free Report) closed the most recent trading day at $196.51, moving -4.99% from the previous trading session. The stock trailed the S&P 500, which registered a daily gain of 0.02%. On the other hand, the Dow registered a gain of 0.51%, and the technology-centric Nasdaq decreased by 0.18%.
Prior to today's trading, shares of the maker of graphics chips for gaming and artificial intelligence had gained 7.43% outpaced the Computer and Technology sector's loss of 4.21% and the S&P 500's gain of 0.77%.
The upcoming earnings release of Nvidia will be of great interest to investors. The company's upcoming EPS is projected at $2.09, signifying a 99.05% increase compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $91.71 billion, up 96.2% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $9.09 per share and revenue of $387.84 billion, indicating changes of +90.57% and +79.61%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for Nvidia. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 1.54% rise in the Zacks Consensus EPS estimate. Nvidia presently features a Zacks Rank of #1 (Strong Buy).
With respect to valuation, Nvidia is currently being traded at a Forward P/E ratio of 22.76. This expresses a discount compared to the average Forward P/E of 42.16 of its industry.
Meanwhile, NVDA's PEG ratio is currently 0.39. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Semiconductor - General industry currently had an average PEG ratio of 0.87 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 6, this industry ranks in the top 3% of all industries, numbering over 250.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
Nvidia spustila Open Secure AI Alliance se zhruba třicítkou technologických firem včetně Microsoftu, IBM, Palantiru a CrowdStrike. Cílem je vyvíjet a sdílet otevřené nástroje pro ochranu softwaru a AI agentů.
Nvidia (NVDA -4.97%) announced Monday that it has formed the Open Secure AI Alliance, along with a group of roughly three dozen tech companies. The alliance will build and share open tools for protecting software and AI agents -- AI programs that act on their own. Space Exploration Technologies Corp. was among the founding members through its AI unit, SpaceXAI.
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What will the alliance do?The alliance’s core mission will be to “work to remediate and disclose vulnerabilities using open technologies.” Members include Microsoft, IBM, Palantir Technologies, and CrowdStrike.
Nvidia said it is contributing open model weights -- the trained numbers inside a model, published for all to see and free to use -- along with training data and research. It also posted a project which Nvidia says makes an AI agent's conduct easier to govern, audit, trace, and test. SpaceXAI said future Grok models will ship with open weights.
Why now?The timing follows a high-profile cyberattack in which an OpenAI model acting on its own -- no person was directing it -- hacked into the systems of Hugging Face, an open-source machine learning hub. Hugging Face said it contained the attack by running an open Chinese model on its own computers.
In Nvidia’s announcement of the alliance, the company stressed that "cyber defenders need open, frontier agentic systems for self-defense."
While the company didn’t name it directly, it’s clear that U.S. firms are wary of Chinese models -- many of which are open source -- becoming the go-to for cyber defense. But they are equally wary that the government will overstep and stifle competition domestically.
Treasury Secretary Scott Bessent floated sanctions last week for Chinese firms that use “distillation,” a process that creates new models from existing ones, more or less bypassing the incredibly expensive training phase that frontier models undergo.
More than 20 companies (including Nvidia) wrote to policymakers last week opposing "premature restrictions" on open weight models, saying it would “drive innovation overseas.“ SpaceX was not a signatory, but CEO Elon Musk took to X to share his support.
What it means for Nvidia investorsThis is unlikely to make a big difference to Nvidia’s bottom line for now, but long-term, the alliance could help Nvidia increase its importance in AI security, a layer that could further expand its footprint.
In the short term, the company is doing just fine. It reported $81.6 billion in quarterly revenue in May, up an incredible 85% from a year earlier. It guided the current quarter to $91 billion.
What it means for SpaceX investorsAgain, the impact on SpaceX in the short term is likely limited, but if the alliance is an indication of where the industry is headed -- moving from closed, proprietary models to open weight -- SpaceXAI could be in trouble.
Though it lags OpenAI and Anthropic, SpaceXAI is still first and foremost a frontier lab, and its business model relies on users paying for access. If cheaper -- or free -- models are available, it may prove difficult for the company to earn a return on the enormous costs involved in training Grok.
Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends CrowdStrike, International Business Machines, Microsoft, Nvidia, and Palantir Technologies. The Motley Fool has a disclosure policy.
Safe Superintelligence uzavřela dlouhodobé partnerství s Nvidií, které jí dá přístup k platformě Vera Rubin a výrazně zvýší výpočetní kapacitu pro výzkum AI.
After two years in stealth, Safe Superintelligence, the AI lab founded by former OpenAI co-founder and alignment lead Ilya Sutskever, has announced a long-term partnership with Nvidia as it prepares to scale to its next phase.
The deal, which includes an undisclosed investment, will give Safe Superintelligence (SSI) access to Nvidia’s Vera Rubin GPU platform, which is expected to increase the startup’s compute resources “by an order of magnitude.” The partnership comes as SSI has achieved significant research milestones, per Nvidia.
Nvidia’s investment stretches into multiple billions, a source familiar with the deal told TechCrunch.
Already an investor in SSI, the chipmaking giant said it signed this compute partnership to “accelerate SSI’s next stage of growth after obtaining rare access into the company’s closely guarded research.”
“We have research that is worthy of scaling up, and having access to a big NVIDIA computer will let us do so,” Sutskever said in a statement. “We are confident that our big bet on the Vera Rubin platform will take us to the next level.
The partnership news, while sparse in details, brings SSI back into the spotlight after a quiet two years since it was founded. The company is pursuing a “straight shot” research approach to building what it says is a safe, aligned artificial superintelligence, without getting distracted by commercial product releases or short-term revenue cycles.
At a time when commercial pressures to move fast could encourage AI labs to lower their bar for safety, SSI’s approach to developing foundational techniques focused on alignment and true general reasoning feels poignant. That’s especially true in light of OpenAI’s recent disclosure that one of its advanced models broke out of its sandbox to hack into Hugging Face during testing — sparking concerns about whether it’s even possible to ensure AI alignment before new, increasingly capable models are released.
According to Nvidia, the two companies will also collaborate on advancing Nvidia’s current and future compute platforms, relying on SSI’s tech and “unique insights into the future of AI.” (SSI also partnered last year with Google Cloud to power its research.)
Sutskever is a pioneer in the field of AI. He co-authored and co-created AlexNet alongside Alex Krizhevsky and Geoffrey Hinton, proving that GPU scaling and deep neural networks can work. That work has largely been credited for setting the groundwork for today’s generative AI.
Prior to leading SSI, Sutskever headed the now-defunct Superalignment team at OpenAI. He left OpenAI months after a failed attempt to oust OpenAI CEO Sam Altman, following what Sutskever referred to as a “breakdown in communications.”
SSI has raised $7 billion to date, and is valued at $32 billion post-money, according to PitchBook data. Aside from Nvidia, the firm’s backers included Andreessen Horowitz, Alphabet, Lightspeed Venture Partners, GV, Sequoia Capital Partners, and others.
TechCrunch has reached out to SSI and Nvidia for more information.
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Rebecca Bellan is a senior reporter at TechCrunch where she covers the business, policy, and emerging trends shaping artificial intelligence. Her work has also appeared in Forbes, Bloomberg, The Atlantic, The Daily Beast, and other publications.
You can contact or verify outreach from Rebecca by emailing [email protected] or via encrypted message at rebeccabellan.491 on Signal.
Jensen Huang uvedl, že polovodičový průmysl bude muset během příští dekády zhruba zdesetinásobit svou velikost, aby zvládl éru 100 miliard AI agentů a robotů.
NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) CEO Jensen Huang used an exclusive Bloomberg interview on July 27, 2026 to lay out one of the boldest forecasts yet for the AI buildout: a semiconductor industry that must expand roughly tenfold over the coming decade to serve a computing world dominated by autonomous machines rather than human users.
Speaking about the shift from human-driven computing to agentic systems, Huang argued that Nvidia’s addressable market is being redefined at the endpoint level. “These are now processing AI’s for humans to collaborate with. In the future we have AI agents and robots and they will be using computers. Instead of a billion people using computers we will have 100 billion agents and billions of robots all using computers. The computer industry built on top of the chip industry is certainly not big enough,” Huang said. His projection follows: “My guess is the semiconductor industry will probably have to be 10 times larger than it is today over the next decade or so. Working with our partners in Korea and around the world to scale up the supply chain of semiconductors so we are prepared for the AI future.” Huang framed the 10x figure explicitly as his personal guess, not a certainty.
Reframing The Addressable Market The pitch aligns with themes Huang has hammered on recent earnings calls. On the fiscal Q1 2027 call in May 2026, he described “The transition from generative to agentic AI, AI capable of perceiving, reasoning, planning, and acting,” as a force that will reshape every industry. He has also flagged that reasoning models require “a hundred, a thousand times more” tokens per task than one-shot chatbots, a compute intensity that underpins his tenfold industry expansion thesis.
Nvidia reported fiscal Q1 2027 revenue of $81.61 billion, up 85.2% year over year, with data center revenue of $75.25 billion and non-GAAP earnings per share of $1.87, according to the company’s SEC 8-K filing. Q2 guidance called for approximately $91.0 billion in revenue.
The Korea Angle: SK Group And HBM Huang leaned heavily into South Korea as a linchpin of the buildout. “It is the golden age for Korea, as you know. Their semiconductor and industrial business is booming. The country has the ability to help the world buildout AI infrastructure. They are incredibly adapt at adopting new technologies,” he told Bloomberg.
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Nvidia announced a partnership with SK Group valued at over $500 billion in consumption and purchasing of memory and sales of AI supercomputers. The companies are collaborating on memory roadmaps spanning HBM3, HBM4, and beyond, and Nvidia is investing in Korea’s leading AI cloud with plans to scale 200 megawatts. Reports indicate Nvidia will invest $1 billion in Naver Corp to finance an AI data center expansion in the country. SK Group’s listed affiliates trade on the Korea Exchange rather than U.S. venues.
Capex Confidence, With Caveats The 10x call gives investors a framework for interpreting Nvidia’s aggressive supply commitments. The company disclosed $119.0 billion in total supply-related commitments and authorized an additional $80 billion share buyback, alongside a dividend raise to $0.25 per share. Reports indicate Nvidia is in talks to provide a $250 billion financing guarantee for an OpenAI data center project in southern Ohio.
Nvidia carries a trailing P/E of 32 and a forward P/E of 24, with an analyst target price of $302.83 against a recent quote of $206.02. Shares are up 11.04% year to date and 19.21% over the past year.
Huang is arguing that AI infrastructure demand will run longer and deeper than current models assume because the number of compute endpoints jumps from roughly a billion humans to hundreds of billions of agents and robots. That is his projection, not a guarantee, and it hinges on the industry actually scaling supply chains across Taiwan, Korea, and the United States to meet it. Investors watching Nvidia should track hyperscaler capex commentary, HBM supply agreements, and the Vera Rubin ramp for evidence that Huang’s timeline is materializing.
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Dan Ives, Partner and Senior Managing Director at Yorkville Ives & Co., took to CNBC on July 27, 2026 to push back on the growing chorus of tech skeptics. His central message: the recent pullback in high-growth names is a digestion period, and the AI investment cycle is nowhere near its late stages. “We’re third inning of the AI revolution and it’s just further validation from earnings,” Ives said.
The backdrop matters. The Nasdaq 100 is trading at 22 times forward P/E, a nearly 10% discount to its ten-year average, and sits 8% below June 2026 highs. Volatility has ticked up modestly, with the VIX at 18.70 as of July 23, 2026, still inside the normal range. Ives’s framing is that this is exactly what a healthy consolidation looks like inside a multi-year buildout.
The NVIDIA Thesis: One Chip, 12-to-1 Demand NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) sits at the center of Ives’s argument. “There’s one chip in the world fueling the AI revolution, and that’s Nvidia,” he said, adding that “Demand to supply today is 12 to 1 for their chips. Physical AI hasn’t even started to play out.”
The most recent numbers give that view some weight. In Q1 FY2027, NVIDIA posted revenue of $81.61 billion, up 85.2% year over year, and non-GAAP EPS of $1.87 versus a $1.77 estimate. Data Center revenue reached $75.25 billion, up 92% year over year, with Data Center Networking climbing 199% year over year to $14.80 billion. Management guided Q2 FY27 revenue to $91.0 billion, plus or minus 2%, excluding China Data Center compute. Total supply commitments now stand at $119.0 billion, disclosed in the company’s Q1 FY27 8-K filing.
CEO Jensen Huang described the moment as “the buildout of AI factories, the largest infrastructure expansion in human history, is accelerating at extraordinary speed.” NVIDIA shares closed at $206.84 on July 24, and the stock is up 11.04% year to date. Forward P/E sits at 24, with a consensus analyst target of $302.83.
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The Hyperscaler Capex Arms Race Ives frames hyperscaler spending as rational. “For every dollar spent on capex, there’s five, six multiplier across the rest of the tech,” he said, and “We’re only 15% through what the broader spending is going to be in terms of AI.”
The 2026 spending picture supports the scale of that argument:
Amazon (NASDAQ:AMZN) plans roughly $200 billion in capex in 2026, with AWS revenue of $37.59 billion in Q1, up 28%. Microsoft (NASDAQ:MSFT) reported Q3 FY26 capex of $30.88 billion, up 84.4%, with an AI business surpassing a $37 billion annual revenue run rate, up 123% year over year. Meta Platforms (NASDAQ:META) raised its FY2026 capex guidance to $125 billion to $145 billion and signed a multi-year deal with NVIDIA for millions of Blackwell and Rubin GPUs. Alphabet spent $44.92 billion on capex in Q2 alone, up 100% year over year, and Ives noted the company recorded its first negative free cash flow in 22 years as a direct result of AI buildout spending. What Ives Wants Investors to Watch The real validation of the cycle, in Ives’s view, arrives through cloud growth and enterprise adoption metrics due this earnings season. Prediction markets are aligned near term: Polymarket assigns a 91% probability that Microsoft beats its next quarterly earnings, and 95.3% probability for Amazon.
Risks remain. NVIDIA continues to guide with no Data Center compute revenue from China assumed, and hyperscalers are increasingly tapping debt markets to fund the buildout. Ives’s 12-to-1, 5-to-6x, and 15%-complete figures are his estimates, not audited metrics. The pushback that matters most for his thesis is whether cloud revenue growth continues to justify the capital being deployed.
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Collaborative Wealth Managment Inc. cut its holdings in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 58.2% during the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund owned 4,267 shares of the computer hardware maker’s stock after selling 5,948 shares during the period. Collaborative Wealth Managment Inc.’s holdings in NVIDIA were worth $744,000 at the end of the most recent quarter.
A number of other institutional investors have also made changes to their positions in NVDA. Diversified Enterprises LLC increased its holdings in shares of NVIDIA by 44.2% during the fourth quarter. Diversified Enterprises LLC now owns 127,604 shares of the computer hardware maker’s stock worth $23,798,000 after purchasing an additional 39,129 shares during the period. ASR Vermogensbeheer N.V. boosted its stake in shares of NVIDIA by 1.8% in the fourth quarter. ASR Vermogensbeheer N.V. now owns 3,169,377 shares of the computer hardware maker’s stock valued at $591,086,000 after buying an additional 54,877 shares during the period. Storen Legacy Partners LLC bought a new stake in shares of NVIDIA in the fourth quarter valued at approximately $1,350,000. Weaver Capital Management LLC grew its position in NVIDIA by 5.5% during the fourth quarter. Weaver Capital Management LLC now owns 85,216 shares of the computer hardware maker’s stock worth $15,893,000 after buying an additional 4,439 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership grew its position in NVIDIA by 3.6% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 26,652,420 shares of the computer hardware maker’s stock worth $4,970,704,000 after buying an additional 936,506 shares in the last quarter. Institutional investors own 65.27% of the company’s stock.
Trending Headlines about NVIDIA Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: NVIDIA announced a joint AI research lab with KAIST in Seoul, a $300 million collaboration that will fund researchers, internships, and AI infrastructure to advance agentic AI in South Korea. NVIDIA and KAIST Launch Joint AI Research Lab to Accelerate AI Innovation in Korea Positive Sentiment: The company also struck a $1.5 billion partnership with Amkor to expand advanced semiconductor packaging and test capacity in the U.S., reinforcing NVIDIA’s AI supply chain and manufacturing footprint. Nvidia, Amkor strike $1.5 billion chip packaging deal Positive Sentiment: Jensen Huang and NVIDIA joined Microsoft, Meta, and others in publicly backing open-source AI models, which could support broader AI adoption and future demand for NVIDIA GPUs. Nvidia, Microsoft and other tech giants back open-source AI models Positive Sentiment: Several technical reports say NVDA is holding support and may be forming a bullish inverse head-and-shoulders pattern, while other analysts point to a breakout above the 50-day moving average as a possible catalyst. NVIDIA Corp. (NVDA) Price Forecast: Can NVDA Break Above Key Resistance? Neutral Sentiment: Institutional filings show continued buying from some funds, but insider activity remains dominated by sales, which keeps sentiment mixed rather than decisively bullish. Fund Update: 337,821 NVIDIA (NVDA) shares added to COMGEST GLOBAL INVESTORS S.A.S. portfolio Negative Sentiment: Broader semiconductor shares have pulled back as investors take profits and worry about AI valuation levels and heavy capex spending, which has weighed on NVIDIA along with the rest of the AI trade. Semiconductor Crossroads: Healthy Consolidation or Deeper Repricing? Negative Sentiment: News flow also highlights investor rotation out of the biggest AI winners and concerns that the “Magnificent 7” are digesting a surge in AI infrastructure spending, creating near-term pressure on NVDA despite strong long-term demand. Magnificent 7 stocks shed hundreds of billions amid AI spending fears Analyst Upgrades and Downgrades Several brokerages have weighed in on NVDA. Robert W. Baird set a $500.00 price objective on NVIDIA and gave the company an “outperform” rating in a report on Thursday, May 21st. Rosenblatt Securities reissued a “buy” rating and set a $325.00 target price on shares of NVIDIA in a report on Thursday, May 21st. Citic Securities raised their price target on NVIDIA from $242.00 to $315.00 and gave the stock a “buy” rating in a research report on Friday, May 22nd. Seaport Research Partners raised their price target on NVIDIA from $140.00 to $180.00 and gave the stock a “sell” rating in a research report on Thursday, May 21st. Finally, The Goldman Sachs Group reaffirmed a “buy” rating and issued a $285.00 price target (up from $250.00) on shares of NVIDIA in a research note on Wednesday, May 20th. Three research analysts have rated the stock with a Strong Buy rating, forty-eight have assigned a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of “Buy” and an average target price of $304.26.
View Our Latest Analysis on NVDA
NVIDIA Stock Performance Shares of NVDA stock opened at $206.84 on Monday. NVIDIA Corporation has a fifty-two week low of $164.07 and a fifty-two week high of $236.54. The stock’s fifty day moving average price is $207.85 and its two-hundred day moving average price is $195.86. The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.85 and a current ratio of 3.44. The company has a market cap of $5.01 trillion, a PE ratio of 31.68, a P/E/G ratio of 0.40 and a beta of 2.21.
NVIDIA (NASDAQ:NVDA – Get Free Report) last posted its quarterly earnings results on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, topping analysts’ consensus estimates of $1.76 by $0.11. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The company had revenue of $81.61 billion during the quarter, compared to analysts’ expectations of $78.42 billion. During the same quarter in the previous year, the firm earned $0.81 EPS. NVIDIA’s revenue was up 85.2% on a year-over-year basis. Equities analysts predict that NVIDIA Corporation will post 8.79 EPS for the current fiscal year.
NVIDIA Increases Dividend The firm also recently announced a quarterly dividend, which was paid on Friday, June 26th. Shareholders of record on Thursday, June 4th were paid a dividend of $0.25 per share. The ex-dividend date of this dividend was Thursday, June 4th. This is a positive change from NVIDIA’s previous quarterly dividend of $0.01. This represents a $1.00 annualized dividend and a yield of 0.5%. NVIDIA’s payout ratio is presently 15.31%.
NVIDIA declared that its Board of Directors has initiated a stock repurchase program on Wednesday, May 20th that authorizes the company to buyback $80.00 billion in shares. This buyback authorization authorizes the computer hardware maker to purchase up to 1.5% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s board believes its shares are undervalued.
Insiders Place Their Bets In related news, Director Mark A. Stevens sold 885,000 shares of NVIDIA stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $210.17, for a total transaction of $186,000,450.00. Following the sale, the director directly owned 5,207,271 shares of the company’s stock, valued at approximately $1,094,412,146.07. The trade was a 14.53% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Stephen C. Neal sold 15,500 shares of the company’s stock in a transaction that occurred on Wednesday, June 3rd. The stock was sold at an average price of $215.73, for a total transaction of $3,343,815.00. Following the transaction, the director owned 116,135 shares of the company’s stock, valued at approximately $25,053,803.55. This represents a 11.77% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 1,901,125 shares of company stock valued at $410,583,015. 3.94% of the stock is currently owned by corporate insiders.
NVIDIA Company Profile (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
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Nvidia podle WSJ jedná o podpoře až 600 miliard USD financování spojeného s OpenAI, včetně 250 miliard USD pro datacentrum v Ohiu a 350 miliard USD na nákup GPU. Pokud se to potvrdí, vyvolá to novou debatu o „cirkulárním“ financování AI.
The artificial intelligence boom has reshaped more than the technology industry — it has changed how the biggest AI infrastructure projects get funded. Companies are no longer just competing to build the fastest models. They are racing to secure enough computing power to train them, forcing billions of dollars into new data centers and AI chips.
Nvidia (NASDAQ:NVDA | NVDA Price Prediction) has been the biggest beneficiary of that spending, but as the cost of AI infrastructure continues climbing, investors are beginning to pay closer attention to who is ultimately paying the bill. A new report suggests Nvidia may once again play a larger role than simply supplying GPUs.
Nvidia’s Role Appears to Be Expanding According to The Wall Street Journal, Nvidia is in talks to support as much as $600 billion of OpenAI-related financing. The proposal could include $250 billion tied to OpenAI’s planned Ohio data center and another $350 billion supporting GPU purchases.
If true, the arrangement would represent a dramatic expansion of Nvidia’s relationship with its largest AI customers. OpenAI already depends on Nvidia’s GPUs to train and run models like ChatGPT. Increasingly, it may also depend on Nvidia to help finance the infrastructure required to buy those chips.
This isn’t the first time such reports have surfaced. Last year, reports suggested Nvidia was considering a financing package approaching $100 billion for OpenAI’s infrastructure ambitions. Those negotiations ultimately produced a much smaller investment than initially reported. Nvidia CEO Jensen Huang later indicated media reports overstated the scope of the discussions, explaining the conversations centered around a non-binding memorandum of understanding rather than Nvidia funding the entire project outright.
That history matters because none of the latest reports have been confirmed by Nvidia or OpenAI. Investors should remember that negotiations often evolve — or disappear entirely.
The criticism isn’t new. Nvidia has invested directly in AI startups while partnering with lenders and infrastructure providers to expand AI capacity. Those investments remain tiny compared to Nvidia’s nearly $200 billion in annual revenue and hundreds of billions of dollars in cash generation, but a $600 billion financing package would inevitably attract renewed scrutiny if completed.
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Granted, facilitating financing isn’t uncommon in capital-intensive industries. Aircraft manufacturers, industrial equipment makers, and energy companies have long helped customers secure funding. The difference is the sheer size of today’s AI infrastructure projects.
OpenAI’s Economics Remain the Bigger Question The financing discussion also shines a spotlight on OpenAI itself. Earlier this year, reports indicated OpenAI had reached roughly $2 billion in monthly revenue, an extraordinary growth rate for any software company. Yet multiple reports have also suggested the company continues generating massive operating losses as it spends aggressively on AI infrastructure, talent, and model development.
That creates a delicate balancing act. OpenAI needs ever-larger computing clusters to stay competitive, while Nvidia needs customers capable of purchasing ever-larger quantities of GPUs.
Ironically, that mutual dependence is exactly what makes investors uneasy. If OpenAI requires outside financing to sustain its expansion, skeptics may once again question whether AI chip demand is entirely organic or increasingly supported by creative financing structures.
Key Takeaway In short, investors should treat the reported $600 billion financing discussions with caution until Nvidia or OpenAI confirms the details. Similar reports last year ultimately proved far less sweeping than early headlines suggested.
Regardless, the report underscores a broader trend that matters far more than one rumored transaction: Nvidia is evolving from the world’s dominant AI chip supplier into a central player in financing the AI ecosystem itself. That strategy could deepen customer relationships and protect future GPU demand, but it also invites greater scrutiny over whether demand is being driven by end-market economics or increasingly by the availability of capital.
Ultimately, that distinction may become one of the most important questions surrounding Nvidia’s valuation over the next several years.
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Nvidia a SK Hynix rozšířily dlouhodobé partnerství o dodávky a společný vývoj HBM pro AI čipy. Dohoda má pomoci zmírnit úzké místo v dodávkách paměti, ale nedostatek zatím trvá.
Nvidia’s expanded partnership with SK Hynix has given investors a reason to look for a breakout, although the agreement has not yet produced a measurable market reaction.
NVDA closed Friday at $206.84, down 0.92%, before details of the SK Group initiative were absorbed.
Nvidia already dominates AI accelerators, but its processors cannot be delivered as complete systems without enough high-bandwidth memory.
By securing and jointly developing HBM with SK Hynix, Nvidia is addressing a component that could increasingly determine how many AI factories it can build and ship.
Nvidia and SK Hynix agreed to establish a long-term partnership covering supplies, joint development and optimisation of next-generation AI memory, including HBM.
The arrangement is designed to align memory technology with Nvidia’s computing platforms.
That matters because memory is becoming one of the tightest constraints in the AI supply chain.
Morgan Stanley analyst Joseph Moore described the market as unlike a conventional semiconductor cycle, arguing that memory was becoming “increasingly THE bottleneck” for AI and agentic-computing systems.
Moore also identified Nvidia and Broadcom as among the strongest-value computing names.
His argument supports the investment case behind the SK Hynix agreement: if Nvidia secures more advanced memory while demand remains above supply, it could ship more complete systems and reduce a major execution risk.
The deal does not eliminate shortages immediately.
HBM capacity remains limited, qualification requirements are demanding and Nvidia, hyperscalers and rival accelerator developers are competing for the same advanced supply.
The partnership also links Nvidia to a potentially important customer.
SK Telecom plans to develop an AI factory of up to 2 gigawatts using Nvidia’s DSX architecture and Vera Rubin accelerated-computing systems powered by SK Hynix HBM4.
The first facility is planned to begin operating in 2027.
That creates a strategic loop as SK Hynix supplies and co-develops the memory, Nvidia provides the computing systems, networking, software and data-centre architecture, and SK Telecom becomes an infrastructure customer serving South Korea and the wider Asia-Pacific region.
The deployment could become a valuable reference site for Vera Rubin as Nvidia faces competition from hyperscalers’ custom processors and specialist AI-chip companies.
It also reinforces Nvidia’s shift from selling individual GPUs towards supplying complete AI factories.
However, the companies signed letters of intent for a programme described as exceeding $500 billion.
They did not disclose Nvidia’s expected revenue, system volumes, memory prices or binding purchase commitments.
Also read: Why are Nvidia-backed CoreWeave, Nebius, and IREN stocks plunging?
Execution remains the central risk. KeyBanc analyst John Vinh said the Vera Rubin ramp appeared slightly delayed because of thermal-lid issues and SK Hynix’s HBM4 qualification.
He nevertheless viewed the financial risk as manageable because additional Blackwell shipments could offset slower Rubin deliveries.
Vinh retained an Outperform rating and raised his Nvidia price target to $330 from $310.
His view captures the stock’s tension: the partnership addresses the correct bottleneck, but Nvidia must still qualify HBM4, solve system-level challenges and scale Rubin on schedule.
Investors must also see continued capital spending from Microsoft, Amazon, Alphabet and Meta.
Barron’s recently argued that renewed Big Tech spending commitments were needed to drive sustained gains above $200.
Company updates this year put fresh numbers on the AI (artificial intelligence) build-out, and they are enormous. Alphabet raised its 2026 capital spending forecast to a range of $195 billion to $205 billion, up from $180 billion to $190 billion. Amazon has said it expects to invest about $200 billion this year. And Meta Platforms plans $125 billion to $145 billion, a range it lifted by $10 billion in April.
Add it up, and just three companies intend to spend more than half a trillion dollars in a single year, most of it on AI infrastructure. And that tally leaves out Microsoft, which has pointed to about $190 billion of its own.
No company collects more of that spending than Nvidia (NVDA -1.01%), the dominant supplier of the graphics processing units (GPUs) those data centers are built around. Yet Nvidia stock fell on Thursday alongside other big tech stocks, and it now sits about 12% below its 52-week high.
Customers committing record sums while the supplier's stock drifts lower? That's a disconnect worth examining, because one side of it is probably wrong.
Image source: Nvidia.
Where those budgets end up The budgets are not all chips, but a large share of the money goes where Nvidia lives. Alphabet, for instance, said on its earnings call that about 60% of its technical infrastructure investment in the second quarter went to servers, with the rest going to data centers and networking equipment. The company also raised $49.6 billion in a June stock offering, with scaling AI infrastructure among the stated uses.
The flow shows up directly in Nvidia's results. In its first quarter of fiscal 2027 (the period ended April 26, 2026), revenue rose 85% year over year to a record $81.6 billion. Data center revenue climbed 92% to $75.2 billion, and total revenue rose 20% from the prior quarter as well. And the company guided for about $91 billion in revenue in its fiscal second quarter, all while holding its gross margin near 75%.
"The buildout of AI factories -- the largest infrastructure expansion in human history -- is accelerating at extraordinary speed," said CEO Jensen Huang in the company's fiscal first-quarter earnings release.
In other words, the customers' budgets and the supplier's income statement are telling the same story, and Alphabet's raise this past week extended it into the second half of 2026.
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So why did the stock slip? One possible explanation is that the market punished the spenders on Thursday. Alphabet's shares fell after its capital spending raise, and the sell-off spread across the megacaps, Nvidia included. When investors start doubting whether half a trillion dollars of AI spending will earn its keep, they also start discounting the revenue that spending creates -- and a large share of it lands on Nvidia's income statement.
That's the risk to hold in mind. Nvidia's growth is a direct function of a handful of customers' willingness to keep writing bigger checks. Budgets that accelerate for three years can also flatten, and the semiconductor industry has never escaped its cycles for long. A capital budget is a plan, not a contract, and plans built during a boom can get rewritten quickly.
The same customers are also working to need Nvidia a little less. Meta said on its first-quarter earnings call that it is rolling out more than a gigawatt of its own custom silicon, developed with Broadcom, alongside chips from Advanced Micro Devices -- complementing, for now, the new Nvidia systems it keeps installing.
With all of that said, the valuation asks less than investors might assume. Nvidia trades at about 32 times trailing earnings -- a multiple many slower-growing consumer companies carry -- for a business that just grew 85%. The market, in effect, is already pricing in a meaningful slowdown. Against expected earnings for the next 12 months, the multiple drops to about 21.
So does Thursday's sell-off make Nvidia the way to own the build-out? I think it remains the most direct claim on those budgets, and at this valuation I'd keep owning it. But I'd size the position for what it is: a stock whose earnings depend on a handful of customers' capital budgets -- and capital budgets get revisited every year.
NVIDIA rozšiřuje Agent Toolkit o PhysicsNeMo a CUDA-X, aby vývojáři mohli vytvářet autonomní AI inženýry pro návrh čipů, simulace a ověřování. Nemotron 3 Ultra zároveň vede mezi open modely v agentickém RTL kódování.
NVIDIA expands NVIDIA Agent Toolkit with re-architected NVIDIA PhysicsNeMo libraries and updated NVIDIA CUDA-X libraries, enabling software developers to build autonomous AI engineers with AI physics skills, accelerated solvers and quantum chemistry capabilities.NVIDIA Nemotron 3 Ultra leads among open models in agentic register-transfer level coding with the ACE-RTL agent from NVIDIA Research, helping enterprises build customizable AI agents for chip design and verification.Cadence, Siemens, Synopsys and other industry leaders are using NVIDIA accelerated computing and agentic AI technologies to advance autonomous engineering workflows across chip design, verification, packaging and systems. LONG BEACH, Calif., July 26, 2026 (GLOBE NEWSWIRE) -- NVIDIA today announced an expansion of NVIDIA Agent Toolkit for engineering, now adding NVIDIA PhysicsNeMo™ and CUDA-X™ libraries as agent-ready tools and skills built to transform how the world designs and develops products.
Building the next generation of chips and systems requires teams to connect physics, simulation and performance analysis across increasingly complex design cycles. A new class of autonomous AI engineers is emerging to help take on that complexity — using specialized tools, running simulations and generating high-fidelity data to help scale chip design, verification, packaging and systems.
Now included in NVIDIA Agent Toolkit, NVIDIA has re-architected PhysicsNeMo into a set of agent-friendly libraries and added new and updated CUDA-X libraries to support complex engineering work. PhysicsNeMo provides AI physics skills for training and deploying models, while CUDA-X libraries bring accelerated solvers and quantum chemistry capabilities into agentic engineering workflows.
“Engineering has reached an inflection point. AI can now work with tools of physics, simulation and design,” said Timothy Costa, vice president and general manager of computational engineering at NVIDIA. “With NVIDIA Agent Toolkit, developers can build agentic engineers that reason using physics, run complex simulations and generate high-fidelity data to become a new engine for innovation in chip and system design.”
NVIDIA Agent Toolkit Adds AI Physics and Accelerated Computing Skills for Engineering Agents
NVIDIA Agent Toolkit helps developers build specialized engineering AI assistants connected to domain-specific tools, models and data. With the addition of NVIDIA PhysicsNeMo and CUDA-X libraries, these agents can now use AI physics skills, accelerated solvers and quantum chemistry capabilities for chip, system and industrial engineering.
Key capabilities include:
AI physics skills: NVIDIA PhysicsNeMo libraries help agents train and deploy customizable AI physics models for complex design and simulation tasks, turning model architectures into callable tools for engineering workflows.Iterative sparse solvers: New NVIDIA cuISS (CUDA Iterative Sparse Solvers) library accelerates large sparse linear systems in physics-based and engineering simulations. Designed for flexibility and performance on GPUs, its modern, composable solvers and preconditioners help developers build scalable, production simulation engines for agentic engineering workflows. Direct sparse solvers: NVIDIA cuDSS (CUDA Direct Sparse Solvers) accelerates large, complex sparse linear systems central to electronic design automation (EDA) and scientific simulation. It delivers high performance and numerical robustness for critical workloads like device, circuit and system simulations with scalability to multi-GPU and multi-node deployments in production environments.Quantum chemistry: NVIDIA cuEST (CUDA Electronic Structure Theory) brings high-accuracy quantum chemistry simulations to device-relevant scales, enabling density functional theory (DFT) and post-DFT methods to be integrated into production workflows at scale. cuEST brings production value to customers by supporting a wide range of modern functionals and making increasingly large ground-state and excited-state simulations manageable on NVIDIA GPUs. NVIDIA Nemotron 3 Ultra Open Model Advances Agentic Coding for Chip Design
Chip design depends on specialized register-transfer level (RTL) coding, which demands high accuracy, deep domain expertise and flexibility over deployment.
With ACE-RTL — an agent for designing hardware from NVIDIA Research — NVIDIA Nemotron™ 3 Ultra leads among open models in agentic RTL coding on the comprehensive verilog design problems benchmark across RTL coding tasks.
This represents how Nemotron 3 Ultra offers industry-leading accuracy and efficiency and can be post-trained on proprietary data — deployed locally or on premises — giving enterprises greater control, customization and data privacy as they build AI agents for chip design.
Developers can get started with Nemotron 3 Ultra using Cadence’s harness; Synopsys’ fully autonomous, long-running agents for design verification and analog and mixed-signal workflows; Siemens’ Questa One smart verification agentic toolkit; as well as on Hugging Face.
Software Leaders Build Autonomous AI Engineers With NVIDIA
Industrial engineering leaders are already using the new and expanded NVIDIA Agent Toolkit components to develop autonomous AI engineers.
Cadence is using NVIDIA Nemotron, accelerated computing and CUDA-X libraries with the recently launched Cadence AuraStack AI Super Agent and the Cadence Millennium M2000 platform to autonomously drive advanced packaging and printed circuit board (PCB) design from exploration through signoff, delivering up to 20x faster multiphysics performance. This joins Cadence’s complete portfolio of silicon design super agents which collectively cover the chip design workflow end to end, from architecture through manufacturing signoff.
In addition, the collaboration extends from agentic design to the underlying compute as Cadence’s portfolio of EDA and system design automation tools, including Cadence Jasper, a formal verification platform, is being optimized for the NVIDIA Vera CPU to help engineering teams validate advanced chip designs faster.
Synopsys is using the NVIDIA Agent Toolkit, NVIDIA NIM™ microservices, Nemotron open models, the NVIDIA NeMo™ Gym library and NVIDIA NemoClaw™ blueprints with Synopsys AgentEngineer to build secure, accelerated agentic workflows across chip and system design. Leveraging Ansys Icepak, Synopsys’ agentic workflow autonomously executes simulation setup, and pre- and post-processing for complex GPU cooling design optimization. Synopsys is developing NVIDIA cuISS use cases to accelerate simulation workloads.
The collaboration extends from agentic workflows to the underlying compute platform as Synopsys VCS, a high-performance functional verification solution used to simulate and validate complex chip designs before fabrication, is being optimized for the NVIDIA Vera CPU to help improve verification throughput.
Siemens is using NVIDIA NeMo Gym, Nemotron open models and CUDA-X libraries with the Siemens Fuse EDA AI Agent to orchestrate multi-tool and multi-agent workflows across semiconductor, 3D-IC, PCB and system design, from conception through signoff. In Siemens Solido Characterization Suite, these agentic AI workflows are delivering more than 10x faster library characterization while reducing token costs by more than 10x.
Samsung is using NVIDIA cuLitho and CUDA-X libraries to achieve up to 20x greater performance for computational lithography and applying NVIDIA PhysicsNeMo to perform chip-scale thermal-stress analysis with numerical solver-level accuracy across domains containing up to 10 billion cells.
ChipAgents is using NVIDIA Agent Toolkit to build domain-specific AI agents for chip design and verification. The team is fine-tuning NVIDIA Nemotron models for complex end-to-end semiconductor design and verification workflows including debug, formal verification, coverage and more.
Silvaco is using NVIDIA accelerated computing to scale high-accuracy 3D optical simulation in the Silvaco Victory Device. Running on 32 NVIDIA GPUs interconnected by NVIDIA NVLink™ technology, it completed a 3.2-billion-mesh-node photonic edge coupler simulation in under four hours, a workload beyond the practical limits of CPU-based simulation.
Keysight is harnessing NVIDIA cuDSS to accelerate electromagnetic simulations by up to 10x, while Samsung, Synopsys and TSMC are integrating NVIDIA cuEST into its GPU-accelerated pipeline to achieve up to a 50x speedup for key quantum-chemistry workloads.
Learn more by joining NVIDIA at DAC.
About NVIDIA
NVIDIA (NASDAQ: NVDA) is the world leader in AI and accelerated computing.
For further information, contact:
Paris Fox
Corporate Communications
NVIDIA Corporation [email protected]
Certain statements in this press release including, but not limited to, statements as to: With NVIDIA Agent Toolkit, developers being able to build agentic engineers that reason using physics, run complex simulations and generate high-fidelity data to become a new engine for innovation in chip and system design; expectations with respect to growth, performance, availability, and benefits of NVIDIA’s products, services and technologies, and related trends and drivers; expectations with respect to NVIDIA’s third party arrangements, including with its collaborators and partners; expectations with respect to technology developments, and related trends and drivers; projected market growth and trends; expectations with respect to AI and related industries; and other statements that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are subject to the “safe harbor” created by those sections based on management’s beliefs and assumptions and on information currently available to management and are subject to risks and uncertainties that could cause results to be materially different than expectations. Important factors that could cause actual results to differ materially include: global economic and political conditions; NVIDIA’s reliance on third parties to manufacture, assemble, package and test NVIDIA’s products; the impact of technological development and competition; development of new products and technologies or enhancements to NVIDIA’s existing products and technologies; market acceptance of NVIDIA’s products or NVIDIA’s partners’ products; design, manufacturing or software defects; changes in consumer preferences or demands; changes in industry standards and interfaces; unexpected loss of performance of NVIDIA’s products or technologies when integrated into systems; NVIDIA’s ability to realize the potential benefits of business investments or acquisitions; and changes in applicable laws and regulations, as well as other factors detailed from time to time in the most recent reports NVIDIA files with the Securities and Exchange Commission, or SEC, including, but not limited to, its Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Copies of reports filed with the SEC are posted on the company’s website and are available from NVIDIA without charge. These forward-looking statements are not guarantees of future performance and speak only as of the date hereof, and, except as required by law, NVIDIA disclaims any obligation to update these forward-looking statements to reflect future events or circumstances.
Many of the products and features described herein remain in various stages and will be offered on a when-and-if-available basis. The statements above are not intended to be, and should not be interpreted as a commitment, promise, or legal obligation, and the development, release, and timing of any features or functionalities described for our products is subject to change and remains at the sole discretion of NVIDIA. NVIDIA will have no liability for failure to deliver or delay in the delivery of any of the products, features or functions set forth herein.
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/8cc7fd5d-80e0-4960-9176-41e04d3909a0
NVIDIA Agent Toolkit With NVIDIA PhysicsNeMo and CUDA-X Libraries NVIDIA today announced an expansion of NVIDIA Agent Toolkit for engineering, now adding NVIDIA Physi...
Silvaco oznámila spolupráci s NVIDIA na vývoji digitálních dvojčat pro návrh a výrobu polovodičů s využitím AI a akcelerovaného výpočtu. Firma uvedla, že to má zkrátit simulační cykly z týdnů na dny.
SANTA CLARA, Calif., July 26, 2026 (GLOBE NEWSWIRE) -- Silvaco Group, Inc. (Nasdaq: SVCO) (“Silvaco”), a leading provider of TCAD, EDA software, and semiconductor IP solutions, and NVIDIA, a global leader in accelerated computing and AI, today announced a collaboration to advance next-generation digital twins for semiconductor design and manufacturing using NVIDIA accelerated computing and AI.
Silvaco is combining decades of physics-based modeling expertise with NVIDIA’s accelerated computing, CUDA-X™ libraries, PhysicsNeMo, Omniverse libraries, and Nemotron open models to help customers build, train, and deploy high-fidelity digital twins capable of predicting, optimizing, and validating complex semiconductor systems with unprecedented speed and accuracy.
Together, Silvaco’s physics-based simulation portfolio and NVIDIA accelerated computing and AI will help customers design, simulate and optimize increasingly complex semiconductor technologies.
Partnership Focus Areas
GPU-Accelerated Physics Simulation
Silvaco intends to use NVIDIA accelerated computing and CUDA-X™ libraries to accelerate its semiconductor device, process, photonics, and multiphysics simulation solutions, enabling dramatic reductions in simulation runtimes and increased design productivity. As an early proof point, Silvaco completed a fully scaled 3D FDTD simulation of a photonic edge coupler with 3.2 billion mesh nodes on 32 NVIDIA GPUs connected with NVLink in under four hours. The workload did not converge on CPUs, and the result achieved less than 0.15 dB difference between measurement and simulation.
AI-Driven Surrogate Modeling
Silvaco intends to leverage NVIDIA PhysicsNeMo to develop customizable AI surrogate models that complement high-fidelity physics simulation and accelerate exploration of design alternatives.
Digital Twin Visualization and Collaboration
Silvaco plans to connect its digital twin environment with NVIDIA Omniverse libraries™ and NVIDIA Cosmos™ to deliver collaborative, real-time visualization and simulation environments spanning semiconductor fabs, manufacturing systems, robotics platforms and infrastructure applications to provide interactive visualization and collaboration across semiconductor design and manufacturing workflows.
Scaled Engineering Workflows
Silvaco aims to establish cloud-native workflows that support design, testing, and validation across distributed teams and compute environments.
Delivering Measurable Customer Value
By combining the technologies, Silvaco expects to help customers:
Reduce Simulation Cycles from Weeks to Days
GPU-accelerated simulation and AI-driven modeling will enable faster design iterations and reduced time-to-market.Improve Accuracy and Insight
High-fidelity digital twins will provide deeper visibility into system performance, enabling more precise validation and optimization.Scale Engineering and Collaboration
Cloud-based visualization and AI-driven workflows will enable global teams to collaborate more efficiently and execute complex simulations at scale.
“The convergence of physics-based simulation, accelerated computing, and artificial intelligence is transforming design and manufacturing,” said Walden C. Rhines, President and Chief Executive Officer of Silvaco. “By combining Silvaco’s deep expertise in semiconductor and multiphysics digital twins with NVIDIA’s industry-leading computing and AI platforms, we can help customers model increasingly complex systems with greater speed, fidelity, and confidence. Together, we are positioning the industry for a future where AI-powered digital twins can fundamentally transform how semiconductor technologies are designed, validated, and optimized.”
“Digital twins are becoming essential tools for engineering and manufacturing innovation,” said Da Yang, senior director of product, semiconductor and EDA at NVIDIA. “By using NVIDIA AI, open models, libraries and accelerated computing, Silvaco is connecting high-fidelity simulation, helping customers move faster from modeling to insight across semiconductor design and manufacturing.”
The combination of Silvaco and NVIDIA solutions is expected to enable advanced digital twin applications including:
Semiconductor process, device, packaging, and photonics simulationAI-assisted development of next-generation chips and advanced nodesFactory optimization and predictive manufacturing
This collaboration brings together Silvaco’s semiconductor modeling expertise with NVIDIA accelerated computing and AI to advance high-fidelity simulation, AI surrogate models, and digital twins across semiconductor design and manufacturing.
About Silvaco
Silvaco is a provider of AI-enabled TCAD and EDA solutions, and SIP solutions that enable semiconductor design and digital twin modeling through AI software and innovation. Silvaco’s solutions are used for semiconductor and photonics processes, devices, and systems development across display, power devices, automotive, memory, high-performance compute, foundries, photonics, internet of things, and 5G/6G mobile markets for complex SoC design. Silvaco is headquartered in Santa Clara, California, and has a global presence with offices located in North America, Europe, Brazil, China, Egypt, Japan, Korea, Singapore, Taiwan, and Vietnam. Learn more at silvaco.com.
Safe Harbor Statement
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended, that are intended to be covered by the “safe harbor” provisions of those sections. Forward-looking statements give our current expectations and projections relating to our financial condition, results of operations, plans, objectives, future performance and business and can be identified by the fact that they do not relate strictly to historical or current facts. Forward-looking statements are typically identified by the use of words such as “anticipate,” “expect,” “intend,” “plan,” “believe,” “estimate,” “potential,” “continue” and similar expressions, although not all forward-looking statements contain these words. These statements are based on the Company’s current expectations and assumptions and are subject to risks, uncertainties and other factors, including those described in the Company’s most recent Quarterly Report on Form 10-Q and other filings with the Securities and Exchange Commission. These factors may cause actual results to differ materially from those expressed or implied by forward-looking statements. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.
Aubrey Capital Management Ltd cut its position in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 21.1% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 18,000 shares of the computer hardware maker’s stock after selling 4,800 shares during the period. NVIDIA comprises 1.7% of Aubrey Capital Management Ltd’s portfolio, making the stock its 24th largest holding. Aubrey Capital Management Ltd’s holdings in NVIDIA were worth $3,138,000 at the end of the most recent reporting period.
Other institutional investors and hedge funds have also recently modified their holdings of the company. Spectrum Financial Alliance Ltd LLC lifted its position in shares of NVIDIA by 3.8% in the first quarter. Spectrum Financial Alliance Ltd LLC now owns 1,395 shares of the computer hardware maker’s stock valued at $243,000 after acquiring an additional 51 shares in the last quarter. Presidio Capital Management LLC boosted its stake in shares of NVIDIA by 0.4% in the fourth quarter. Presidio Capital Management LLC now owns 15,137 shares of the computer hardware maker’s stock worth $2,823,000 after acquiring an additional 53 shares during the period. LMG Wealth Partners LLC grew its position in shares of NVIDIA by 0.7% during the fourth quarter. LMG Wealth Partners LLC now owns 7,649 shares of the computer hardware maker’s stock worth $1,427,000 after purchasing an additional 53 shares in the last quarter. Vision Financial Markets LLC grew its position in shares of NVIDIA by 1.2% during the third quarter. Vision Financial Markets LLC now owns 4,640 shares of the computer hardware maker’s stock worth $866,000 after purchasing an additional 53 shares in the last quarter. Finally, JGP Global Gestao de Recursos Ltda. raised its stake in NVIDIA by 2.3% during the 4th quarter. JGP Global Gestao de Recursos Ltda. now owns 2,402 shares of the computer hardware maker’s stock valued at $448,000 after purchasing an additional 55 shares during the period. 65.27% of the stock is currently owned by institutional investors.
NVIDIA Price Performance NVIDIA stock opened at $206.84 on Friday. NVIDIA Corporation has a 52-week low of $164.07 and a 52-week high of $236.54. The company has a quick ratio of 2.85, a current ratio of 3.44 and a debt-to-equity ratio of 0.04. The firm’s fifty day moving average is $207.85 and its 200 day moving average is $195.81. The company has a market cap of $5.01 trillion, a price-to-earnings ratio of 31.68, a PEG ratio of 0.40 and a beta of 2.21.
NVIDIA (NASDAQ:NVDA – Get Free Report) last issued its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, topping analysts’ consensus estimates of $1.76 by $0.11. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The business had revenue of $81.61 billion during the quarter, compared to analysts’ expectations of $78.42 billion. During the same period last year, the company posted $0.81 EPS. The business’s revenue was up 85.2% on a year-over-year basis. Sell-side analysts forecast that NVIDIA Corporation will post 8.79 EPS for the current fiscal year.
NVIDIA Increases Dividend The firm also recently declared a quarterly dividend, which was paid on Friday, June 26th. Investors of record on Thursday, June 4th were issued a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date of this dividend was Thursday, June 4th. This is a positive change from NVIDIA’s previous quarterly dividend of $0.01. NVIDIA’s payout ratio is 15.31%.
NVIDIA announced that its Board of Directors has initiated a share repurchase program on Wednesday, May 20th that authorizes the company to repurchase $80.00 billion in shares. This repurchase authorization authorizes the computer hardware maker to repurchase up to 1.5% of its stock through open market purchases. Stock repurchase programs are usually an indication that the company’s leadership believes its shares are undervalued.
Key Headlines Impacting NVIDIA Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: NVIDIA announced a joint AI research lab with KAIST in Seoul, a $300 million collaboration that will fund researchers, internships, and AI infrastructure to advance agentic AI in South Korea. NVIDIA and KAIST Launch Joint AI Research Lab to Accelerate AI Innovation in Korea Positive Sentiment: The company also struck a $1.5 billion partnership with Amkor to expand advanced semiconductor packaging and test capacity in the U.S., reinforcing NVIDIA’s AI supply chain and manufacturing footprint. Nvidia, Amkor strike $1.5 billion chip packaging deal Positive Sentiment: Jensen Huang and NVIDIA joined Microsoft, Meta, and others in publicly backing open-source AI models, which could support broader AI adoption and future demand for NVIDIA GPUs. Nvidia, Microsoft and other tech giants back open-source AI models Positive Sentiment: Several technical reports say NVDA is holding support and may be forming a bullish inverse head-and-shoulders pattern, while other analysts point to a breakout above the 50-day moving average as a possible catalyst. NVIDIA Corp. (NVDA) Price Forecast: Can NVDA Break Above Key Resistance? Neutral Sentiment: Institutional filings show continued buying from some funds, but insider activity remains dominated by sales, which keeps sentiment mixed rather than decisively bullish. Fund Update: 337,821 NVIDIA (NVDA) shares added to COMGEST GLOBAL INVESTORS S.A.S. portfolio Negative Sentiment: Broader semiconductor shares have pulled back as investors take profits and worry about AI valuation levels and heavy capex spending, which has weighed on NVIDIA along with the rest of the AI trade. Semiconductor Crossroads: Healthy Consolidation or Deeper Repricing? Negative Sentiment: News flow also highlights investor rotation out of the biggest AI winners and concerns that the “Magnificent 7” are digesting a surge in AI infrastructure spending, creating near-term pressure on NVDA despite strong long-term demand. Magnificent 7 stocks shed hundreds of billions amid AI spending fears Wall Street Analysts Forecast Growth Several research firms have weighed in on NVDA. Argus upped their price target on NVIDIA from $220.00 to $270.00 and gave the stock a “buy” rating in a research note on Thursday, May 21st. CICC Research lifted their price objective on shares of NVIDIA from $240.60 to $268.30 and gave the company an “outperform” rating in a research report on Friday, May 22nd. Mizuho set a $300.00 target price on shares of NVIDIA in a report on Thursday, May 21st. President Capital boosted their target price on shares of NVIDIA from $280.00 to $295.00 and gave the stock a “buy” rating in a report on Thursday, May 21st. Finally, Rothschild & Co Redburn upped their target price on shares of NVIDIA from $280.00 to $300.00 and gave the stock a “buy” rating in a research report on Tuesday, May 26th. Three analysts have rated the stock with a Strong Buy rating, forty-eight have assigned a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Buy” and a consensus target price of $304.26.
View Our Latest Stock Analysis on NVIDIA
Insider Buying and Selling In other NVIDIA news, Director Stephen C. Neal sold 15,500 shares of the company’s stock in a transaction that occurred on Wednesday, June 3rd. The stock was sold at an average price of $215.73, for a total transaction of $3,343,815.00. Following the sale, the director directly owned 116,135 shares in the company, valued at $25,053,803.55. This represents a 11.77% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, Director Mark A. Stevens sold 885,000 shares of the firm’s stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $210.17, for a total value of $186,000,450.00. Following the completion of the sale, the director directly owned 5,207,271 shares of the company’s stock, valued at $1,094,412,146.07. The trade was a 14.53% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 1,901,125 shares of company stock worth $410,583,015. Corporate insiders own 3.94% of the company’s stock.
NVIDIA Profile (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
Recommended Stories Five stocks we like better than NVIDIA Telecom Earnings Reveal a Sector That Finally Looks Healthier Defense Earnings Show Readiness Now and Modernization Ahead Why Palantir Investors Aren’t Panicking While the Rest of AI Sells Off MarketBeat Week in Review – 07/20- 07/24 Want to see what other hedge funds are holding NVDA? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for NVIDIA Corporation (NASDAQ:NVDA – Free Report).
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Checchi Capital Advisers LLC grew its stake in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 5.4% during the first quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 188,065 shares of the computer hardware maker’s stock after purchasing an additional 9,606 shares during the quarter. NVIDIA makes up approximately 1.7% of Checchi Capital Advisers LLC’s holdings, making the stock its 4th biggest holding. Checchi Capital Advisers LLC’s holdings in NVIDIA were worth $32,798,000 at the end of the most recent reporting period.
Several other institutional investors and hedge funds have also recently bought and sold shares of NVDA. Lifetime Wealth Management P.C. acquired a new stake in shares of NVIDIA during the fourth quarter worth $26,000. Longview Financial Advisors Inc. bought a new position in shares of NVIDIA in the 1st quarter worth about $27,000. Longfellow Investment Management Co. LLC boosted its holdings in shares of NVIDIA by 47.9% in the 2nd quarter. Longfellow Investment Management Co. LLC now owns 207 shares of the computer hardware maker’s stock valued at $33,000 after buying an additional 67 shares during the period. Spurstone Advisory Services LLC bought a new stake in shares of NVIDIA during the 2nd quarter valued at about $40,000. Finally, Inspire Investing LLC bought a new stake in shares of NVIDIA during the 4th quarter valued at about $44,000. Institutional investors and hedge funds own 65.27% of the company’s stock.
Insider Buying and Selling at NVIDIA In other NVIDIA news, Director John Dabiri sold 625 shares of the stock in a transaction on Wednesday, May 27th. The stock was sold at an average price of $214.00, for a total transaction of $133,750.00. Following the completion of the transaction, the director directly owned 14,163 shares of the company’s stock, valued at approximately $3,030,882. This trade represents a 4.23% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Stephen C. Neal sold 15,500 shares of NVIDIA stock in a transaction on Wednesday, June 3rd. The shares were sold at an average price of $215.73, for a total value of $3,343,815.00. Following the transaction, the director owned 116,135 shares in the company, valued at approximately $25,053,803.55. This trade represents a 11.77% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 1,901,125 shares of company stock valued at $410,583,015. 3.94% of the stock is owned by corporate insiders.
NVIDIA Stock Down 0.9% NVDA stock opened at $206.84 on Friday. NVIDIA Corporation has a 52 week low of $164.07 and a 52 week high of $236.54. The company has a market capitalization of $5.01 trillion, a price-to-earnings ratio of 31.68, a price-to-earnings-growth ratio of 0.40 and a beta of 2.21. The firm’s 50-day moving average is $207.85 and its two-hundred day moving average is $195.81. The company has a current ratio of 3.44, a quick ratio of 2.85 and a debt-to-equity ratio of 0.04.
NVIDIA (NASDAQ:NVDA – Get Free Report) last posted its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.76 by $0.11. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The business had revenue of $81.61 billion during the quarter, compared to analysts’ expectations of $78.42 billion. During the same period last year, the firm posted $0.81 earnings per share. The business’s revenue was up 85.2% on a year-over-year basis. On average, analysts forecast that NVIDIA Corporation will post 8.79 earnings per share for the current fiscal year.
NVIDIA announced that its Board of Directors has authorized a share buyback plan on Wednesday, May 20th that allows the company to repurchase $80.00 billion in shares. This repurchase authorization allows the computer hardware maker to repurchase up to 1.5% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s management believes its shares are undervalued.
NVIDIA Increases Dividend The company also recently announced a quarterly dividend, which was paid on Friday, June 26th. Shareholders of record on Thursday, June 4th were given a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. This is a positive change from NVIDIA’s previous quarterly dividend of $0.01. The ex-dividend date was Thursday, June 4th. NVIDIA’s payout ratio is currently 15.31%.
Key Stories Impacting NVIDIA Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: NVIDIA announced a joint AI research lab with KAIST in Seoul, a $300 million collaboration that will fund researchers, internships, and AI infrastructure to advance agentic AI in South Korea. NVIDIA and KAIST Launch Joint AI Research Lab to Accelerate AI Innovation in Korea Positive Sentiment: The company also struck a $1.5 billion partnership with Amkor to expand advanced semiconductor packaging and test capacity in the U.S., reinforcing NVIDIA’s AI supply chain and manufacturing footprint. Nvidia, Amkor strike $1.5 billion chip packaging deal Positive Sentiment: Jensen Huang and NVIDIA joined Microsoft, Meta, and others in publicly backing open-source AI models, which could support broader AI adoption and future demand for NVIDIA GPUs. Nvidia, Microsoft and other tech giants back open-source AI models Positive Sentiment: Several technical reports say NVDA is holding support and may be forming a bullish inverse head-and-shoulders pattern, while other analysts point to a breakout above the 50-day moving average as a possible catalyst. NVIDIA Corp. (NVDA) Price Forecast: Can NVDA Break Above Key Resistance? Neutral Sentiment: Institutional filings show continued buying from some funds, but insider activity remains dominated by sales, which keeps sentiment mixed rather than decisively bullish. Fund Update: 337,821 NVIDIA (NVDA) shares added to COMGEST GLOBAL INVESTORS S.A.S. portfolio Negative Sentiment: Broader semiconductor shares have pulled back as investors take profits and worry about AI valuation levels and heavy capex spending, which has weighed on NVIDIA along with the rest of the AI trade. Semiconductor Crossroads: Healthy Consolidation or Deeper Repricing? Negative Sentiment: News flow also highlights investor rotation out of the biggest AI winners and concerns that the “Magnificent 7” are digesting a surge in AI infrastructure spending, creating near-term pressure on NVDA despite strong long-term demand. Magnificent 7 stocks shed hundreds of billions amid AI spending fears Wall Street Analyst Weigh In A number of brokerages have issued reports on NVDA. Barclays reissued an “overweight” rating on shares of NVIDIA in a report on Thursday, May 21st. BTIG Research began coverage on NVIDIA in a report on Wednesday, April 15th. They set a “buy” rating for the company. Daiwa Securities Group increased their price target on NVIDIA from $215.00 to $255.00 and gave the stock an “outperform” rating in a research report on Friday, May 22nd. TD Cowen reissued a “buy” rating and issued a $275.00 price target (up from $235.00) on shares of NVIDIA in a report on Friday, May 15th. Finally, Rothschild & Co Redburn boosted their price objective on NVIDIA from $280.00 to $300.00 and gave the company a “buy” rating in a research report on Tuesday, May 26th. Three investment analysts have rated the stock with a Strong Buy rating, forty-eight have assigned a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Buy” and a consensus price target of $304.26.
Read Our Latest Research Report on NVDA
NVIDIA Company Profile (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
Featured Stories Five stocks we like better than NVIDIA Telecom Earnings Reveal a Sector That Finally Looks Healthier Defense Earnings Show Readiness Now and Modernization Ahead Why Palantir Investors Aren’t Panicking While the Rest of AI Sells Off MarketBeat Week in Review – 07/20- 07/24
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NEXT HEADLINE »NVIDIA Corporation $NVDA Shares Bought by Ethos Financial Group LLC
Ethos Financial Group LLC lifted its stake in shares of NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 8.0% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 60,983 shares of the computer hardware maker’s stock after purchasing an additional 4,531 shares during the quarter. NVIDIA comprises about 0.8% of Ethos Financial Group LLC’s investment portfolio, making the stock its 28th largest holding. Ethos Financial Group LLC’s holdings in NVIDIA were worth $10,752,000 as of its most recent filing with the Securities & Exchange Commission.
Other institutional investors and hedge funds have also recently bought and sold shares of the company. State Street Corp lifted its position in NVIDIA by 1.2% in the fourth quarter. State Street Corp now owns 991,480,489 shares of the computer hardware maker’s stock worth $184,911,111,000 after purchasing an additional 11,451,386 shares during the period. Geode Capital Management LLC increased its position in shares of NVIDIA by 0.6% during the 4th quarter. Geode Capital Management LLC now owns 588,803,093 shares of the computer hardware maker’s stock valued at $109,446,217,000 after purchasing an additional 3,383,441 shares during the period. Norges Bank bought a new stake in shares of NVIDIA in the 4th quarter worth $62,244,133,000. Bank of America Corp DE raised its stake in shares of NVIDIA by 1.5% in the 4th quarter. Bank of America Corp DE now owns 187,181,484 shares of the computer hardware maker’s stock worth $34,909,347,000 after buying an additional 2,849,678 shares in the last quarter. Finally, Legal & General Group Plc lifted its holdings in shares of NVIDIA by 1.5% in the third quarter. Legal & General Group Plc now owns 181,203,035 shares of the computer hardware maker’s stock valued at $33,808,862,000 after buying an additional 2,609,560 shares during the period. Institutional investors own 65.27% of the company’s stock.
NVIDIA Stock Down 0.9% NVDA stock opened at $206.84 on Friday. The company has a debt-to-equity ratio of 0.04, a current ratio of 3.44 and a quick ratio of 2.85. The firm has a market capitalization of $5.01 trillion, a P/E ratio of 31.68, a P/E/G ratio of 0.40 and a beta of 2.21. NVIDIA Corporation has a 52-week low of $164.07 and a 52-week high of $236.54. The company’s 50 day simple moving average is $207.85 and its 200-day simple moving average is $195.81.
NVIDIA (NASDAQ:NVDA – Get Free Report) last posted its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 EPS for the quarter, topping analysts’ consensus estimates of $1.76 by $0.11. NVIDIA had a net margin of 62.97% and a return on equity of 96.94%. The firm had revenue of $81.61 billion during the quarter, compared to analyst estimates of $78.42 billion. During the same quarter last year, the business posted $0.81 EPS. The company’s revenue was up 85.2% on a year-over-year basis. As a group, equities research analysts anticipate that NVIDIA Corporation will post 8.79 EPS for the current year.
NVIDIA declared that its Board of Directors has authorized a stock repurchase program on Wednesday, May 20th that permits the company to repurchase $80.00 billion in outstanding shares. This repurchase authorization permits the computer hardware maker to repurchase up to 1.5% of its shares through open market purchases. Shares repurchase programs are often an indication that the company’s board of directors believes its stock is undervalued.
NVIDIA Increases Dividend The firm also recently announced a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Thursday, June 4th were given a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. This is a boost from NVIDIA’s previous quarterly dividend of $0.01. The ex-dividend date of this dividend was Thursday, June 4th. NVIDIA’s payout ratio is 15.31%.
Insider Transactions at NVIDIA In related news, Director Stephen C. Neal sold 15,500 shares of the firm’s stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $215.73, for a total transaction of $3,343,815.00. Following the completion of the sale, the director directly owned 116,135 shares in the company, valued at approximately $25,053,803.55. This trade represents a 11.77% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director John Dabiri sold 625 shares of the stock in a transaction that occurred on Wednesday, May 27th. The stock was sold at an average price of $214.00, for a total transaction of $133,750.00. Following the completion of the sale, the director owned 14,163 shares of the company’s stock, valued at approximately $3,030,882. The trade was a 4.23% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 1,901,125 shares of company stock valued at $410,583,015 over the last quarter. Company insiders own 3.94% of the company’s stock.
Key Headlines Impacting NVIDIA Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: NVIDIA announced a joint AI research lab with KAIST in Seoul, a $300 million collaboration that will fund researchers, internships, and AI infrastructure to advance agentic AI in South Korea. NVIDIA and KAIST Launch Joint AI Research Lab to Accelerate AI Innovation in Korea Positive Sentiment: The company also struck a $1.5 billion partnership with Amkor to expand advanced semiconductor packaging and test capacity in the U.S., reinforcing NVIDIA’s AI supply chain and manufacturing footprint. Nvidia, Amkor strike $1.5 billion chip packaging deal Positive Sentiment: Jensen Huang and NVIDIA joined Microsoft, Meta, and others in publicly backing open-source AI models, which could support broader AI adoption and future demand for NVIDIA GPUs. Nvidia, Microsoft and other tech giants back open-source AI models Positive Sentiment: Several technical reports say NVDA is holding support and may be forming a bullish inverse head-and-shoulders pattern, while other analysts point to a breakout above the 50-day moving average as a possible catalyst. NVIDIA Corp. (NVDA) Price Forecast: Can NVDA Break Above Key Resistance? Neutral Sentiment: Institutional filings show continued buying from some funds, but insider activity remains dominated by sales, which keeps sentiment mixed rather than decisively bullish. Fund Update: 337,821 NVIDIA (NVDA) shares added to COMGEST GLOBAL INVESTORS S.A.S. portfolio Negative Sentiment: Broader semiconductor shares have pulled back as investors take profits and worry about AI valuation levels and heavy capex spending, which has weighed on NVIDIA along with the rest of the AI trade. Semiconductor Crossroads: Healthy Consolidation or Deeper Repricing? Negative Sentiment: News flow also highlights investor rotation out of the biggest AI winners and concerns that the “Magnificent 7” are digesting a surge in AI infrastructure spending, creating near-term pressure on NVDA despite strong long-term demand. Magnificent 7 stocks shed hundreds of billions amid AI spending fears Analysts Set New Price Targets Several brokerages have commented on NVDA. Craig Hallum boosted their price target on shares of NVIDIA from $245.00 to $275.00 and gave the stock a “buy” rating in a research report on Thursday, May 21st. BTIG Research began coverage on NVIDIA in a report on Wednesday, April 15th. They issued a “buy” rating on the stock. Evercore reiterated an “outperform” rating and set a $413.00 price objective (up from $352.00) on shares of NVIDIA in a research report on Thursday, May 21st. Citic Securities raised their price objective on NVIDIA from $242.00 to $315.00 and gave the stock a “buy” rating in a research note on Friday, May 22nd. Finally, Benchmark restated a “buy” rating and issued a $335.00 target price (up from $250.00) on shares of NVIDIA in a report on Thursday, May 21st. Three equities research analysts have rated the stock with a Strong Buy rating, forty-eight have given a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Buy” and an average price target of $304.26.
View Our Latest Analysis on NVDA
NVIDIA Company Profile (Free Report)
NVIDIA Corporation, founded in 1993 and headquartered in Santa Clara, California, is a global technology company that designs and develops graphics processing units (GPUs) and system-on-chip (SoC) technologies. Co-founded by Jensen Huang, who serves as president and chief executive officer, along with Chris Malachowsky and Curtis Priem, NVIDIA has grown from a graphics-focused chipmaker into a broad provider of accelerated computing hardware and software for multiple industries.
The company’s product portfolio spans discrete GPUs for gaming and professional visualization (marketed under the GeForce and NVIDIA RTX lines), high-performance data center accelerators used for AI training and inference (including widely adopted platforms such as the A100 and H100 series), and Tegra SoCs for automotive and edge applications.
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