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The top holders of SpaceX stock are a who's who of tech giants and big name investors. A series of filings show that Alphabet, Nvidia and Peter Thiel own huge stakes in SpaceX — as does, of course, CEO Elon Musk.

Musk is the largest shareholder of SpaceX, controlling roughly 6.42 billion shares or 48.8% of the company, according to an SEC document dated Aug. 13. Based on Friday's closing price of $140, Musk's stake is valued around $898.6 billion.

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Last month, Musk's Tesla (TSLA) reported its own $2 billion investment in SpaceX resulted in a $1 billion paper gain.

Alphabet (GOOGL) owns 551,189,500 shares of SpaceX as of June 30, according to an August 14 SEC filing. Based on Friday's closing price of $140, that stake is valued around $77.17 billion. Alphabet's stake accounted for roughly 7.2% of outstanding shares, as of the end of June, according to the filing.

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Tech investor Thiel owns a combined 427,306,025 shares in SpaceX through various funds associated with his venture capital firm, Founder's Fund, according to an Aug. 14 SEC filing. As of Friday, those shares are worth about $59.82 billion.

Thiel first invested in SpaceX back in 2008 when he put $20 million into the company ahead of a planned rocket launch. (The launch failed to reach orbit). In the following years, Thiel continued to add to his initial investment.

SpaceX (SPCX) stock was up marginally ahead of Monday's open, according to MarketSurge. Last week, shares overtook their offer price of $135 after having tumbled following the IPO.

Stock Market Today: Sandisk, Micron Extend Gains. Dow Rises.

Nvidia's Investments In SpaceX, Intel
Nvidia (NVDA) reported a stake worth just a hair under $21 billion at the end of the second quarter, according to an SEC filing made Friday. Nvidia acquired its SpaceX stake via a $10 billion investment into Musk's AI lab xAI in January. A few weeks later, xAI merged with SpaceX, giving Nvidia a stake in the combined company.

The lab xAI, and now SpaceX, are major buyers of Nvidia's GPUs. The investment only further strengthens the relationship between the two companies. Earlier this month, Musk told investors that SpaceX would develop its AI "exclusively" using Nvidia products because it was "the best AI computer" in the industry.

SpaceX is Nvidia's second-largest corporate holding behind a $30 billion stake in Intel (INTC). Nvidia also has multibillion investments in Coreweave (CRWV), Synopsys (SNPS), Nokia (NOK) and semiconductor maker Coherent (COHR).

An Aug. 11 SEC filing showed SpaceX investor, board member and longtime Musk partner Antonio Gracias owns 503,414,530 shares of SpaceX. Gracias' stake is valued around $70.48 billion.

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The AI infrastructure trade keeps accelerating, and three names are flashing the same signal: accelerating orders, expanding margins, and forward visibility that now stretches into 2028.

NVIDIA (NASDAQ: NVDA | NVDA Price Prediction), Taiwan Semiconductor Manufacturing (NYSE: TSM), and Broadcom (NASDAQ: AVGO) are all up sharply over the past year, with Taiwan Semi leading at 78.82% and Broadcom up 27.2%. Here is what it would take for each to reach a stretch price in 2027.

NVIDIA: The Path to $300 NVIDIA shares sit at $225.16, up 20.87% year to date. Q1 FY27 revenue hit $82 billion, up 85% YoY, with Data Center at $75 billion. Q2 guidance calls for $91 billion in revenue. CEO Jensen Huang told investors, “Demand has gone parabolic. The reason is simple. Agentic AI has arrived.”

On forward EPS of $8.26, $300 implies roughly 36x forward earnings, rich but reasonable given 214.5% YoY earnings growth. The catalysts: the Vera Rubin ramp starting second half 2026 with up to 35x higher inference throughput, an $80 billion buyback authorization, and Blackwell plus Rubin backlog of $1 trillion through calendar 2027. Analysts already carry a $302.83 target with 48 buy ratings.

Taiwan Semiconductor: The Path to $600 TSM trades at $426.35 after a 41% YTD run. Q2 revenue reached $40.2 billion, up 36% YoY, with gross margin at 67.7%. Full-year 2026 revenue growth is guided “slightly above 40% year-over-year in U.S. dollar terms.”

At $17.32 forward EPS, $600 implies about 35x forward, in line with a foundry monopoly ramping 2nm production. CEO C.C. Wei said, “I believe from this day on all the way to probably 2029, 2030, the demand is very strong.” CapEx was raised to $60-64 billion, and Arizona investment expanded to $265 billion. Wall Street sits at $547.09.

Broadcom: The Path to $600 Broadcom at $392.99 is the most controversial of the three, with a beat streak of eight consecutive quarters. AI semiconductor revenue was $10.8 billion, up 143% YoY, and Q3 AI revenue is guided to $16 billion, up over 200%. Fiscal 2027 AI revenue is guided in excess of $100 billion.

On $11.99 forward EPS, $600 implies about 50x forward, aggressive but supported by $30 billion in Q2 bookings and CEO Hock Tan’s assessment that “Demand for XPUs and networking is simply insatiable.” Visibility now extends to 2028. Analysts target $527.88 with 44 buys and zero sells.

The Bottom Line Reaching $300 on NVIDIA, $600 on Taiwan Semi, and $600 on Broadcom would require gains beyond current Street targets. But with hyperscale capex forecast to top $1 trillion in 2027 and every management team calling demand insatiable, the setup is credible. Returns at these levels shouldn’t be expected every year, but the blueprint for outsized 2027 gains is in place.

Contact [email protected] for any questions or corrections.

Evanson Financial LLC purchased a new stake in shares of NVIDIA Corporation (NASDAQ:NVDA – Free Report) in the second quarter, according to the company in its most recent disclosure with the SEC. The institutional investor purchased 47,019 shares of the computer hardware maker’s stock, valued at approximately $9,408,000.

Several other institutional investors and hedge funds have also bought and sold shares of NVDA. IMZ Advisory Inc lifted its stake in NVIDIA by 0.4% in the second quarter. IMZ Advisory Inc now owns 18,066 shares of the computer hardware maker’s stock worth $3,615,000 after acquiring an additional 66 shares during the period. Midwest Financial Network LLC raised its holdings in NVIDIA by 3.5% in the 2nd quarter. Midwest Financial Network LLC now owns 2,077 shares of the computer hardware maker’s stock worth $416,000 after purchasing an additional 71 shares in the last quarter. Israel Discount Bank of New York bought a new position in NVIDIA in the 2nd quarter worth $227,000. Archer Investment Management LLC lifted its position in shares of NVIDIA by 84.1% in the 2nd quarter. Archer Investment Management LLC now owns 3,987 shares of the computer hardware maker’s stock worth $798,000 after purchasing an additional 1,821 shares during the period. Finally, Gainplan LLC lifted its position in shares of NVIDIA by 20.1% in the 2nd quarter. Gainplan LLC now owns 8,306 shares of the computer hardware maker’s stock worth $1,662,000 after purchasing an additional 1,389 shares during the period. Hedge funds and other institutional investors own 65.27% of the company’s stock.

Insider Activity at NVIDIA In related 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 value of $133,750.00. Following the sale, the director owned 14,163 shares in the company, 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 document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark A. Stevens sold 885,000 shares of NVIDIA stock in a transaction that occurred 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 completion of the sale, the director directly owned 5,207,271 shares of the company’s stock, valued at approximately $1,094,412,146.07. This trade represents a 14.53% 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 worth $410,583,015 over the last quarter. 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: UBS expects another major earnings beat. The firm reiterated a Buy rating and $280 price target, forecasting that NVIDIA could exceed its fiscal second-quarter revenue outlook of $91 billion by several billion dollars as GB300 demand ramps ahead of the Vera Rubin platform. UBS earnings outlook Positive Sentiment: A proposed $500 billion financing initiative could expand customers’ purchasing capacity. Apollo, BlackRock, Brookfield, Goldman Sachs and other financial firms are discussing capital pools and securitized loans for AI data centers. The structure could support continued GPU deployments and create a secondary market for older NVIDIA systems. NVIDIA GPU financing deal Positive Sentiment: Demand catalysts continue to broaden. NVIDIA is promoting open-source AI tools, expanding into robotics and physical AI, partnering with former rival Groq, and deepening its networking and infrastructure business. A $2 billion investment in Marvell also highlights efforts to strengthen the broader AI supply chain. NVIDIA open-source AI strategy Neutral Sentiment: Market volatility appears driven more by liquidity than fundamentals. Asian market circuit breakers and currency-related selling pressured semiconductor shares, but the underlying hyperscaler data-center buildout and long-term AI infrastructure commitments remain intact. Asian market volatility and AI demand Negative Sentiment: Expectations and valuation leave little room for disappointment. Analysts note that NVIDIA’s strong pre-earnings performance has set a high bar, while critics—including Michael Burry—warn that AI financing may become circular if customers rely heavily on borrowed capital. Concerns also include power, labor and chip-supply bottlenecks, as well as the risk that Chinese developers optimize models for Huawei hardware instead of U.S. GPUs. AI infrastructure bottlenecks NVIDIA Stock Performance NVIDIA stock opened at $225.16 on Monday. NVIDIA Corporation has a one year low of $164.07 and a one year high of $236.54. The business’s fifty day moving average is $206.14 and its 200 day moving average is $198.60. The stock has a market capitalization of $5.45 trillion, a PE ratio of 34.48, a price-to-earnings-growth ratio of 0.44 and a beta of 2.23. The company has a debt-to-equity ratio of 0.04, a current ratio of 3.44 and a quick ratio of 2.85.

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 for the quarter, topping analysts’ consensus estimates of $1.76 by $0.11. The business had revenue of $81.61 billion during the quarter, compared to analyst estimates of $78.42 billion. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.NVIDIA’s revenue was up 85.2% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.81 EPS. On average, sell-side analysts predict that NVIDIA Corporation will post 8.79 EPS for the current year.

NVIDIA announced that its board has approved a share repurchase plan on Wednesday, May 20th that permits the company to buyback $80.00 billion in shares. This buyback authorization permits the computer hardware maker to reacquire up to 1.5% of its stock through open market purchases. Stock buyback plans are usually an indication that the company’s board believes its shares are undervalued.

NVIDIA Increases Dividend The business also recently disclosed a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Thursday, June 4th were issued 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 dividend yield of 0.4%. NVIDIA’s dividend payout ratio is presently 15.31%.

Wall Street Analysts Forecast Growth Several equities analysts recently issued reports on the stock. Jefferies Financial Group reiterated a “buy” rating and set a $300.00 price target (up from $275.00) on shares of NVIDIA in a research report on Thursday, May 21st. Cantor Fitzgerald restated an “overweight” rating and issued a $350.00 price objective on shares of NVIDIA in a report on Thursday, May 21st. Wolfe Research reaffirmed an “outperform” rating and set a $275.00 price objective on shares of NVIDIA in a research report on Thursday, May 21st. Robert W. Baird set a $500.00 price target on NVIDIA and gave the company an “outperform” rating in a research report on Thursday, May 21st. Finally, The Goldman Sachs Group restated a “buy” rating on shares of NVIDIA in a report on Tuesday, August 11th. 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. According to MarketBeat.com, NVIDIA has an average rating of “Buy” and a consensus target price of $305.94.

View Our Latest Stock Report on NVDA

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 The Metals Company’s Big Bet Now Comes Down to a License OneSpaWorld Keeps Turning Cruise Demand Into Record Earnings Meta and Tesla Are Rebounding From Oversold Levels—Now What? AMG’s Alternatives Boom Powers Record Growth 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.

Clark Asset Management LLC decreased its holdings in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 7.7% during the 2nd quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 42,313 shares of the computer hardware maker’s stock after selling 3,536 shares during the quarter. NVIDIA makes up 0.7% of Clark Asset Management LLC’s portfolio, making the stock its 26th biggest position. Clark Asset Management LLC’s holdings in NVIDIA were worth $8,466,000 as of its most recent SEC filing.

A number of other hedge funds have also recently bought and sold shares of the business. Norges Bank acquired a new stake in shares of NVIDIA during the fourth quarter worth approximately $62,244,133,000. J. Stern & Co. LLP raised its holdings in NVIDIA by 13,709.1% in the fourth 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 acquiring an additional 124,849,603 shares in the last quarter. Cardano Risk Management B.V. boosted its stake in NVIDIA by 896.4% during 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 acquiring an additional 70,283,539 shares during the last quarter. Capital Research Global Investors boosted its stake in NVIDIA by 16.1% during 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 acquiring an additional 22,896,705 shares during the last quarter. Finally, Laurel Wealth Advisors LLC grew its holdings in NVIDIA by 15,496.1% during the 2nd quarter. Laurel Wealth Advisors LLC now owns 21,865,525 shares of the computer hardware maker’s stock worth $3,454,534,000 after acquiring an additional 21,725,326 shares in the last quarter. Institutional investors and hedge funds own 65.27% of the company’s stock.

NVIDIA Price Performance Shares of NVIDIA stock opened at $225.16 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 business’s 50 day simple moving average is $206.14 and its 200-day simple moving average is $198.60. The stock has a market capitalization of $5.45 trillion, a price-to-earnings ratio of 34.48, a PEG ratio of 0.44 and a beta of 2.23. 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 released its quarterly earnings data on Wednesday, May 20th. The computer hardware maker reported $1.87 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.76 by $0.11. The business had revenue of $81.61 billion during the quarter, compared to analyst estimates of $78.42 billion. NVIDIA had a return on equity of 96.94% and a net margin of 62.97%.The business’s revenue for the quarter was up 85.2% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.81 EPS. Equities research analysts forecast that NVIDIA Corporation will post 8.79 earnings per share for the current year.

NVIDIA Increases Dividend The company also recently declared a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Thursday, June 4th were issued a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a dividend yield of 0.4%. This is a positive change from NVIDIA’s previous quarterly dividend of $0.01. The ex-dividend date of this dividend was Thursday, June 4th. NVIDIA’s dividend payout ratio is presently 15.31%.

NVIDIA announced that its board has authorized a share buyback plan on Wednesday, May 20th that allows the company to buyback $80.00 billion in outstanding shares. This buyback authorization allows the computer hardware maker to reacquire up to 1.5% of its shares through open market purchases. Shares buyback plans are usually an indication 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: UBS expects another major earnings beat. The firm reiterated a Buy rating and $280 price target, forecasting that NVIDIA could exceed its fiscal second-quarter revenue outlook of $91 billion by several billion dollars as GB300 demand ramps ahead of the Vera Rubin platform. UBS earnings outlook Positive Sentiment: A proposed $500 billion financing initiative could expand customers’ purchasing capacity. Apollo, BlackRock, Brookfield, Goldman Sachs and other financial firms are discussing capital pools and securitized loans for AI data centers. The structure could support continued GPU deployments and create a secondary market for older NVIDIA systems. NVIDIA GPU financing deal Positive Sentiment: Demand catalysts continue to broaden. NVIDIA is promoting open-source AI tools, expanding into robotics and physical AI, partnering with former rival Groq, and deepening its networking and infrastructure business. A $2 billion investment in Marvell also highlights efforts to strengthen the broader AI supply chain. NVIDIA open-source AI strategy Neutral Sentiment: Market volatility appears driven more by liquidity than fundamentals. Asian market circuit breakers and currency-related selling pressured semiconductor shares, but the underlying hyperscaler data-center buildout and long-term AI infrastructure commitments remain intact. Asian market volatility and AI demand Negative Sentiment: Expectations and valuation leave little room for disappointment. Analysts note that NVIDIA’s strong pre-earnings performance has set a high bar, while critics—including Michael Burry—warn that AI financing may become circular if customers rely heavily on borrowed capital. Concerns also include power, labor and chip-supply bottlenecks, as well as the risk that Chinese developers optimize models for Huawei hardware instead of U.S. GPUs. AI infrastructure bottlenecks Analysts Set New Price Targets Several equities research analysts have recently weighed in on NVDA shares. Stifel Nicolaus set a $282.00 target price on shares of NVIDIA and gave the stock a “buy” rating in a research report on Thursday, May 21st. Mizuho set a $300.00 price target on NVIDIA in a research note on Thursday, May 21st. Robert W. Baird set a $500.00 price target on NVIDIA and gave the stock an “outperform” rating in a research note on Thursday, May 21st. Susquehanna restated a “positive” rating and set a $275.00 price objective (up from $250.00) on shares of NVIDIA in a research note on Tuesday, May 12th. Finally, DZ Bank reaffirmed a “buy” rating 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 given a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, NVIDIA presently has a consensus rating of “Buy” and a consensus price target of $305.94.

Read Our Latest Report on NVDA

Insider Activity In other news, Director Mark A. Stevens sold 885,000 shares of the company’s stock in a transaction dated 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 approximately $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 accessible through the SEC website. Also, Director Stephen C. Neal sold 15,500 shares of the 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 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 position. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 1,901,125 shares of company stock valued at $410,583,015. 3.94% of the stock is currently owned by company insiders.

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 The Metals Company’s Big Bet Now Comes Down to a License OneSpaWorld Keeps Turning Cruise Demand Into Record Earnings Meta and Tesla Are Rebounding From Oversold Levels—Now What? AMG’s Alternatives Boom Powers Record Growth 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.

SpaceX's volatile stock performance has drawn intense scrutiny from investors as the Elon Musk-led company seeks to justify a valuation approaching $1 trillion. But the market swings have also highlighted the extraordinary gains made by investors that backed SpaceX before it became a publicly traded company.

Nvidia (NVDA -0.06%) has been gaining momentum recently. Shares have surged more than 12% since the start of August. The move has brought Nvidia's market cap back to $5.5 trillion, just 4% below its all-time high.

Investors are piling back into Nvidia stock as they begin to believe what CEO Jensen Huang has been saying. Some may have thought his predictions about artificial intelligence (AI) infrastructure spending were exaggerated, but now Huang is steering it toward reality.

Nvidia CEO Jensen Huang. Image source: Nvidia.

From $500 billion to $1 trillion At Nvidia's GTC conference in March, Huang said he sees at least $1 trillion in revenue from Nvidia's next-generation AI chip platform and systems through 2027. That's twice the demand he saw last year, thanks to what he called the arrival of the inference inflection. Nvidia's core advanced Blackwell and Vera Rubin chip architectures satisfy that demand.

Even his previous $500 billion revenue prediction was hard to wrap one's thoughts around. To predict sales of at least $1 trillion through next year seems incomprehensible. But Jensen Huang is proving to be uniquely capable of laying the groundwork for those massive investments.

On Aug. 10, Huang revealed that he brought together the leaders of six of the largest global financial firms to form a partnership to finance AI compute infrastructure and attract more than $500 billion in external capital. Huang's premise is that computing power is becoming a marketable asset, and Nvidia has the tools to drive the market higher.

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Financing the boom The agreements consist of memoranda of understanding (MOUs) with firms such as Goldman Sachs, KKR, and BlackRock, and their implications are significant. Jensen Huang's comment below should help show investors how valuable Nvidia is, and why its stock can keep rising from here. Huang stated:

Nvidia has reached an important milestone. We began by building chips; today, we are helping create a new class of productive, investable infrastructure: AI factories. In AI, compute is revenue. Nvidia compute is uniquely suited for this role.

To be clear, Nvidia likely won't even reach $500 billion in revenue this year. It may get close, though, with the company's fiscal year ending in late January. For fiscal Q2, due to be reported later this month, the company estimates revenue of around $91 billion, about 11.5% higher than Q1. Even if sales continue to increase 12% sequentially quarter to quarter, Nvidia will still report revenue just shy of $400 billion this fiscal year.

But as AI infrastructure growth continues to accelerate, next year should easily surpass $500 billion, and $1 trillion in annual revenue is realistically in sight. Nvidia shares don't trade at an unrealistic multiple now. The stock should continue to move higher along with sales and earnings.

It's not too late to ride that move higher with the AI leader.

Howard Smith has positions in Nvidia. The Motley Fool has positions in and recommends BlackRock, Goldman Sachs Group, KKR, and Nvidia. The Motley Fool has a disclosure policy.

Balefire LLC trimmed its holdings in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 4.0% during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 65,016 shares of the computer hardware maker’s stock after selling 2,710 shares during the period. NVIDIA accounts for approximately 2.1% of Balefire LLC’s holdings, making the stock its 3rd largest holding. Balefire LLC’s holdings in NVIDIA were worth $13,009,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Norges Bank purchased a new position in NVIDIA during the fourth quarter worth approximately $62,244,133,000. J. Stern & Co. LLP grew its stake in shares of 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 buying an additional 124,849,603 shares during the period. Cardano Risk Management B.V. grew its stake in shares of NVIDIA by 896.4% during 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 buying an additional 70,283,539 shares during the period. Capital Research Global Investors increased its holdings in shares of NVIDIA by 16.1% during the 3rd quarter. Capital Research Global Investors now owns 165,377,852 shares of the computer hardware maker’s stock worth $30,855,564,000 after buying an additional 22,896,705 shares during the last quarter. Finally, Laurel Wealth Advisors LLC raised its position in shares of 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 worth $3,454,534,000 after buying an additional 21,725,326 shares during the period. Hedge funds and other institutional investors own 65.27% of the company’s stock.

Analyst Upgrades and Downgrades
A number of research analysts recently weighed in on NVDA shares. Barclays reiterated an “overweight” rating on shares of NVIDIA in a report on Thursday, May 21st. Raymond James Financial restated a “strong-buy” rating and issued a $330.00 price objective on shares of NVIDIA in a report on Thursday, May 21st. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and issued a $255.00 price objective (up from $220.00) on shares of NVIDIA in a research note on Thursday, May 21st. Rosenblatt Securities reiterated a “buy” rating and set a $325.00 target price on shares of NVIDIA in a report on Thursday, May 21st. Finally, CICC Research increased their target price on shares of NVIDIA from $240.60 to $268.30 and gave the stock an “outperform” rating in a research report on Friday, May 22nd. Three investment analysts have rated the stock with a Strong Buy rating, forty-eight have assigned a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat.com, NVIDIA presently has a consensus rating of “Buy” and a consensus price target of $305.94.

View Our Latest Report on NVDA

Insider Activity
In other news, Director John Dabiri sold 625 shares of the company’s stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $214.00, for a total value of $133,750.00. Following the completion of the transaction, the director directly owned 14,163 shares in the company, valued at approximately $3,030,882. This represents a 4.23% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Stephen C. Neal sold 15,500 shares of the firm’s 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 sale, the director directly owned 116,135 shares of the company’s stock, valued at approximately $25,053,803.55. The trade was a 11.77% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 1,901,125 shares of company stock worth $410,583,015. 3.94% of the stock is currently owned by company insiders.

NVIDIA Price Performance
Shares of NASDAQ NVDA opened at $225.16 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. NVIDIA Corporation has a 1-year low of $164.07 and a 1-year high of $236.54. The company has a market capitalization of $5.45 trillion, a price-to-earnings ratio of 34.48, a PEG ratio of 0.44 and a beta of 2.23. The business has a 50-day moving average of $206.14 and a 200-day moving average of $198.51.

NVIDIA (NASDAQ:NVDA – Get Free Report) last announced its 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 business 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 revenue was up 85.2% on a year-over-year basis. During the same period last year, the business posted $0.81 EPS. On average, equities analysts anticipate that NVIDIA Corporation will post 8.79 EPS for the current fiscal year.

NVIDIA Increases Dividend
The company also recently announced a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Thursday, June 4th were given a dividend of $0.25 per share. The ex-dividend date of this dividend was Thursday, June 4th. This is an increase from NVIDIA’s previous quarterly dividend of $0.01. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.4%. NVIDIA’s dividend payout ratio is presently 15.31%.

NVIDIA declared that its board has approved a stock buyback program on Wednesday, May 20th that allows the company to repurchase $80.00 billion in outstanding shares. This repurchase authorization allows the computer hardware maker to reacquire up to 1.5% of its stock through open market purchases. Stock repurchase programs are typically an indication that the company’s board believes its stock is undervalued.

Key Headlines Impacting NVIDIA
Here are the key news stories impacting NVIDIA this week:

Positive Sentiment: UBS expects another major earnings beat. The firm reiterated a Buy rating and $280 price target, forecasting that NVIDIA could exceed its fiscal second-quarter revenue outlook of $91 billion by several billion dollars as GB300 demand ramps ahead of the Vera Rubin platform. UBS earnings outlook
Positive Sentiment: A proposed $500 billion financing initiative could expand customers’ purchasing capacity. Apollo, BlackRock, Brookfield, Goldman Sachs and other financial firms are discussing capital pools and securitized loans for AI data centers. The structure could support continued GPU deployments and create a secondary market for older NVIDIA systems. NVIDIA GPU financing deal
Positive Sentiment: Demand catalysts continue to broaden. NVIDIA is promoting open-source AI tools, expanding into robotics and physical AI, partnering with former rival Groq, and deepening its networking and infrastructure business. A $2 billion investment in Marvell also highlights efforts to strengthen the broader AI supply chain. NVIDIA open-source AI strategy
Neutral Sentiment: Market volatility appears driven more by liquidity than fundamentals. Asian market circuit breakers and currency-related selling pressured semiconductor shares, but the underlying hyperscaler data-center buildout and long-term AI infrastructure commitments remain intact. Asian market volatility and AI demand
Negative Sentiment: Expectations and valuation leave little room for disappointment. Analysts note that NVIDIA’s strong pre-earnings performance has set a high bar, while critics—including Michael Burry—warn that AI financing may become circular if customers rely heavily on borrowed capital. Concerns also include power, labor and chip-supply bottlenecks, as well as the risk that Chinese developers optimize models for Huawei hardware instead of U.S. GPUs. AI infrastructure bottlenecks

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.

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"We've seen a strong shift in company selling compute versus buying compute," says Noah Kann. He points out Alphabet (GOOGL) signaling negative free cash flow in earnings and its following stock sell-off as an example.

Nvidia (NASDAQ: NVDA) could trade at approximately $235 per share on September 1, 2026, according to a prediction generated by ChatGPT.

The Shiller P/E ratio has reached 42, its highest level since the dot-com boom. This time, AI stocks have driven that metric to its highs. This has stoked fears that the cycle will repeat, leading to an AI bust.

Like the internet, AI is likely here to stay. Still, internet stocks endured the dot-com bust despite the industry's long-term successes. Thus, expecting the same thing to happen to AI stocks is a real concern.

However, such events are nearly impossible to time, and those who sell out of the market to avoid a market downturn could also miss out on long-term gains.

Thus, the compromise may be to pivot toward tech stocks likely to survive such an event. Knowing that, these three should hold up well even if the dreaded AI bust occurs.

Image source: Getty Images.

Alphabet
Google parent Alphabet (GOOGL -0.13%) (GOOG -0.12%) missed the dot-com bust by waiting until 2004 to go public. However, the company has used AI since 2001, and thanks to its successes with Google Gemini, it has successfully responded to the competitive threat from ChatGPT.

Admittedly, this has come at a cost. It has raised its capital expenditures (capex) to the $195 billion to $205 billion range for 2026, up from $91 billion in 2025.

It has increased its liquidity to over $242 billion to get ahead of this spending, and long-term debt more than doubled to over $98 billion over the previous six months. Also, free cash flow, which excludes capex, is now $53 billion for the trailing 12 months, down from $67 billion one year ago.

Today's Change

(

-0.13

%) $

-0.46

Current Price

$

345.90

Nonetheless, investors may notice that Alphabet may have become Berkshire Hathaway's next Apple. That interest may partially stem from the fact that its net cash from operating activities was $186 billion for the same period. Thus, even if its capex spending does not bear fruit, Alphabet should be able to service its loans.

Moreover, the stock trades at a P/E ratio of just 17. That should limit its downside in an AI bust, keeping investors safe and preparing them for a likely recovery in the AI sector.

Amazon
Amazon (AMZN -0.94%) was a dot-com-era darling that suffered a sell-off exceeding 90% after the boom ended. However, it emerged as an internet leader, using that strength to pivot into the cloud and eventually AI.

Today, Amazon has amassed around $123 billion in liquidity. It was also once a strong free cash flow generator, with $38 billion in annual free cash flow as recently as 2024.

Nonetheless, Amazon pledged $220 billion in capex for 2025, up from $132 billion in 2025. With that, free cash flow in Q2 has fallen to -$7.6 billion over the trailing 12 months, and long-term debt is now almost $129 billion.

Today's Change

(

-0.94

%) $

-2.48

Current Price

$

262.65

Fortunately, in Q2, it generated $161 billion in net cash from operating activities over the previous 12 months. That gives it latitude to pull back on capex and reduce its debt if its AI spending does not yield returns.

Finally, it sells at a 22 P/E ratio, a low level that would have seemed unthinkable a few years ago. That should limit its downside and set it up for a recovery should an AI bust occur.

Nvidia
Nvidia (NVDA -0.06%) attained the world's largest market value by pioneering the AI chip industry. This product has fueled the AI boom, and its dominance continues despite the emergence of competitors.

If the AI boom ends, Nvidia's problem will not be capex, which totaled just $6.6 billion over the previous 12 months. Instead, the concern with Nvidia is the charges of circular financing. Nvidia had invested in enterprises that are also customers, leaving investors wondering whether all of Nvidia's growth was real.

To ease that concern, Nvidia partnered with several prominent asset management firms to provide $500 billion in financing. While that could take some of the heat off Nvidia, it highlights the industry's dependence on outside financing.

Today's Change

(

-0.06

%) $

-0.14

Current Price

$

225.16

Still, an AI bust would only hurt Nvidia if AI disappeared entirely, which is unlikely. Currently, Nvidia holds about $80 billion in liquidity and around $8.5 billion in total debt, which speaks to its stability. Moreover, it generated $119 billion in free cash flow over the last 12 months.

Considering its 34 P/E ratio, any downside is likely to be limited and temporary.

Nvidia and OpenAI logos are seen in this illustration taken, September 22, 2025. REUTERS/Dado Ruvic/Illustration/File Photo Purchase Licensing Rights, opens new tab

CompaniesAug 15 (Reuters) - Nvidia (NVDA.O), opens new tab is in talks to invest as much as $3 ​billion in SB Energy, a SoftBank Group (9984.T), opens new tab subsidiary developing ‌a massive planned Ohio data center project for OpenAI, the Information reported on Saturday, citing people familiar with the discussions.

Here ​are some details:

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The proposed investment is part of Nvidia's talks with OpenAI ​and SB Energy on providing around $100 billion in ⁠credit support for the planned Ohio data center campus, ​the report said.

Nvidia has discussed investing half of the $3 billion ​when the Ohio project deal is signed and the other half as part of SB Energy's planned initial public offering, according to ​the Information.

Reuters could not immediately verify the report. Nvidia ​and SB Energy did not immediately respond to requests for comment ‌outside ⁠regular business hours.

SB Energy is aiming to go public as soon as next month and could raise at least $5 billion in the IPO, the report added.

SB Energy, ​which is also ​backed by ⁠OpenAI, develops large-scale power and data center infrastructure projects. Founded in 2019, the company ​is building several data center campuses to ​support rising ⁠demand tied to AI workloads.

The Wall Street Journal on Friday reported that Nvidia has revised its plans to support a ⁠proposed ​OpenAI data center project in ​Ohio and is now expected to initially guarantee less than $120 billion, down ​from the $250 billion previously discussed.

Reporting by Disha Mishra in Bengaluru

Our Standards: The Thomson Reuters Trust Principles., opens new tab

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BlackRock CEO Larry Fink previously said that he thinks oil prices could fall significantly, potentially dropping to $40 a barrel or being cut by more than half if the Iran war resolves favorably and Iranian oil returns to global markets. Of course, that is a big question mark as the conflict continues and traffic in the Strait of Hormuz continues to be impeded. But if the situation does resolve, investors should prepare to rotate out of energy names and into the likeliest tech firms set up for a run in the second half of 2026.

NVIDIA’s Valuation Case Is Unusually Clean
The one that makes the most sense is NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) at 17x forward earnings is the clearest setup in large-cap technology right now.  A company generating $96.58 billion in free cash flow annually, growing revenue at 65% year-over-year, does not trade at 17x forward earnings without offering investors a genuine discount window.

The 17x figure contrasts sharply with Wall Street’s pricing. The analyst consensus target sits at $305.94, roughly 36% above the current price of $225.13. The forward EPS embedded in the price model is $6.22, meaning the stock trades at a meaningful discount to where earnings trajectory implies it should be priced. Analyst sentiment backs this up: 51 Buy ratings versus zero Sell ratings. That is consensus, not division.

The Earnings Engine Is Accelerating
Q4 FY2026 revenue came in at $68.13 billion, up 73% year-over-year, with non-GAAP EPS of $1.62 beating the consensus estimate of $1.52 by 7%. Nvidia beat EPS estimates in every quarter of FY2026. Data Center revenue hit $62.31 billion in Q4 alone, up 75% year-over-year, with networking revenue surging 263% year-over-year on NVLink adoption. Q1 FY2027 guidance calls for revenue at ~$78.0 billion, with non-GAAP gross margin expected at ~75%. That is acceleration on an already massive base, with next earnings due May 20, 2026.

The Catalyst Pipeline Is Multi-Year
The Blackwell architecture ramp is generating revenue at scale. Vera Rubin is next in the pipeline. Jensen Huang has committed to an annual product cadence with a roadmap extending through 2028. Strategic partnerships are locked in at gigawatt scale: CoreWeave is contracted for 5 gigawatts of AI factories by 2030, and OpenAI is building toward 10 gigawatts of Nvidia infrastructure. Meta committed to millions of Blackwell and Rubin GPUs in a multiyear deal. “AI is growing faster and will be larger than any platform shifts before, including the Internet, mobile, and cloud,” Huang said on the Q1 FY2026 earnings call. That framing is supported by the numbers.

The China Risk Is Already Priced In
The most cited bear case is China export restrictions. The H20 charge totaled $4.5 billion in Q1 FY2026, and Q1 FY2027 guidance explicitly excludes all China Data Center compute revenue. The company guided $78 billion in revenue anyway. Full-year FY2026 revenue grew 65% to $215.94 billion despite that headwind. Non-China demand is overwhelmingly outpacing the loss. The bear case was stress-tested in real time, and Nvidia passed.

With $58.5 billion remaining under share repurchase authorization and a stock that has returned 78% over the past year, the setup for a retirement-focused investor with a multi-year horizon centers on a dominant infrastructure platform trading at a valuation that assumes growth has already ended, when the data says it has not.

Contact [email protected] for any questions or corrections.

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Every AI story eventually runs into the same wall: power. Data centers can only pull so much electricity from the grid, and chips can only move data so fast before the network becomes the bottleneck instead of the processor. 

Nvidia (NASDAQ:NVDA | NVDA Price Prediction) posted $81.7 billion in revenue for its fiscal first quarter, up 85% year-over-year, with data center revenue alone hitting $75.2 billion. That kind of growth doesn’t come from selling faster chips alone — it comes from controlling the whole system those chips live in. Now, Nvidia just took its boldest step yet toward owning the wiring, not just the brains, of the AI factory.

The Networking Bottleneck Nvidia Just Solved
Nvidia just announced its Spectrum-X Ethernet Photonics platform entered full mass production, becoming the first co-packaged optics (CPO) Ethernet switch built for 200G-per-lane volume shipping. 

Traditional AI data centers link GPUs using pluggable optical transceivers — separate components that convert electrical signals to light and back again. At the scale of a million-GPU cluster, that’s a liability: more lasers to fail, more power draw, more heat.

Nvidia’s fix was to solder the optics directly onto the switch chip. The results are 4 times fewer lasers, 5x lower network power consumption, 10x better resiliency at scale, and a 64x improvement in signal integrity. Optical loss dropped from roughly 22 decibels to about 4. Translation for shareholders: fewer parts breaking down, lower electricity bills for customers, and a network that keeps pace as clusters scale into the millions of GPUs.

CoreWeave (NASDAQ:CRWV), Lambda, and Oracle (NYSE:ORCL) are the first customers, with production having ramped from May through July before reaching full volume. That’s not a science project — that’s revenue.

Nvidia is no longer just building the brains of AI—it’s seizing control of the entire circulatory system to crush the power bottlenecks stopping its rivals cold.

The Supply Chain Nvidia Is Building Around
Nvidia doesn’t manufacture silicon photonics alone, and that’s where the thesis broadens beyond one ticker. Taiwan Semiconductor Manufacturing (NYSE:TSM) handles the advanced silicon photonics fabrication, with packaging capex rising toward 20% of TSM’s planned $52 billion to $56 billion 2026 budget. Advanced packaging made up roughly 8% of TSM’s revenue in 2025, and is expected to top 10% in 2026. TSM trades at a trailing P/E near 30, against a 10-year median closer to 20, so investors are already paying up for this growth.

Lumentum Holdings (NASDAQ:LITE) supplies lasers and optics into the CPO buildout and has secured multi-hundred-million-dollar CPO orders for delivery in the first half of calendar 2027. Its fiscal Q4 revenue hit $1.01 billion, more than doubling year-over-year, with adjusted EPS of $3.23 — also more than double the prior year. Next-quarter guidance of $1.225 billion to $1.275 billion in revenue topped Wall Street’s estimates.

Company
Trailing P/E
Recent Revenue Growth (YoY)

Nvidia
34
85% (Q1 FY2027)

TSM
28
100% (H1 FY2026)

Lumentum Holdings
n/a
83%+ (FY2026)

Why This Deepens Nvidia’s Moat
Owning the switch-to-optics integration doesn’t just make Nvidia’s network faster — it makes the ecosystem stickier. A hyperscaler building around Spectrum-X Photonics buys into Nvidia’s InfiniBand, NVLink, and Ethernet roadmap all at once. Nvidia’s networking revenue nearly tripled to $14.8 billion in fiscal Q2 2026, up 199% year over year — this is becoming its own growth engine, not a side project. Granted, Nvidia’s trailing P/E of roughly 34 sits well below its five-year average near 69, so the market isn’t pricing this as a moonshot.

That said, competition isn’t standing still. Advanced Micro Devices (NASDAQ:AMD) is projecting 64% EPS growth for 2026 with a PEG ratio near 0.4 to 0.5, a cheaper entry for the same AI infrastructure trend. And CPO manufacturing yields remain the swing factor: Yole Group pegs the entire data-center CPO market at roughly $46 million in 2024, growing to $8.1 billion by 2030 — a 137% compound annual growth rate on a market that’s still tiny today.

Key Takeaway
Nvidia isn’t just selling chips anymore — it’s selling the highway those chips talk over, and it’s pulling Taiwan Semiconductor Manufacturing and Lumentum along for the ride. 

For investors already holding Nvidia, this reinforces the bull case: a widening moat backed by real revenue. For those wanting exposure without Nvidia’s premium, TSM and Lumentum offer picks-and-shovels entry points — though the latter’s 708% gain over the last year already prices in much of that 2027 CPO ramp. 

In any case, the network is no longer an afterthought in the AI story. Nvidia just planted its flag first.

Contact [email protected] for any questions or corrections.

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The four largest cloud buyers are on pace to spend roughly half a trillion dollars this year building AI infrastructure, and the number keeps climbing.

Microsoft (NASDAQ:MSFT | MSFT Price Prediction) alone committed $115.95 billion in fiscal 2026 capital expenditures. Meta Platforms (NASDAQ:META) narrowed its 2026 CapEx guide to $130 to $145 billion. Alphabet (NASDAQ:GOOGL) spent $44.92 billion in Q2 alone, up 100.14% year over year. Amazon (NASDAQ:AMZN) burned $54.21 billion in Q2.

Wall Street loves it. But households should look closer.

1. Your Power Bill Is Financing the Buildout Data centers could account for 9.1% of all U.S. electricity consumption by the end of the decade, per EIA figures cited to the House Energy and Commerce Committee. Residential electricity prices already grew 6.4% in 2024 and are forecast to keep rising through 2027. Utilities are asking regulators to fund new transmission. Homeowners are on the tab.

2. Water in the Wrong Places U.S. data center water use hit roughly 66 billion liters in 2023, more than triple the 2014 level. A single hyperscale campus in Denver projects up to 805,000 gallons a day, the equivalent of about 16,100 residents. White House AI Czar David Sacks amplified a community backlash story about a Washington state town this week, signaling that water permitting is becoming a political constraint, not just an engineering one.

3. Your 401(k) Is a Concentrated AI Bet NVIDIA (NASDAQ:NVDA) now sits at a $5.46 trillion market cap and represents 7.58% of the SPDR S&P 500 ETF. Combined, NVDA, MSFT, GOOGL, AMZN, and META make up 23.76% of the index. The VIX is at 14.55, in the bottom 4.3% of its 12-month range. Every passive index buyer is long AI capex, and volatility is priced for calm.

4. Pristine Balance Sheets Are Levering Up Alphabet’s free cash flow turned negative $5.86 billion in Q2, long-term debt climbed from $46.5 billion to $98.2 billion, and the buyback was suspended. Meta’s free cash flow collapsed 91.31% to $784 million, with long-term debt at $83.66 billion. They are borrowing at a 4.70% 10-year Treasury yield, sitting in the 98th percentile of the past year.

5. The Circular Financing Problem NVIDIA invests in Anthropic. Anthropic buys NVIDIA chips through Amazon and Microsoft cloud contracts. Alphabet booked a $99.03 billion gain on equity securities in Q2. NVIDIA’s Q2 guide of $91 billion excludes China entirely. If any hyperscaler blinks on CapEx, the demand chain, the equity marks, and the debt service assumptions all move together.

What to Watch Meta already traded human capital for compute capital, cutting 8,000 employees in May with $1.18 billion in severance while raising its CapEx ceiling. META stock is down more than 24% over the past year even as spending accelerated. The next signal: whether Q3 free cash flow at Alphabet and Meta recovers, or whether the debt window at 4.70% starts to close. If it closes, the buildout gets rationed, and everything downstream reprices.

Contact [email protected] for any questions or corrections.

ARK Invest's Brett Winton discusses how AI is becoming a powerful macroeconomic force, driving investment in data centers, cloud infrastructure and semiconductors. He highlights opportunities tied to Nvidia (NVDA), AMD Inc. (AMD), robotaxis and AI adoption, projecting trillions of dollars in new demand and economic activity by 2030.

Avior Wealth Management LLC reduced its holdings in shares of NVIDIA Corporation (NASDAQ: NVDA) by 4.2% in the undefined quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 252,383 shares of the computer hardware maker's stock after selling 10,980 shares during the quarter. NVIDIA makes

Value Investor Trims Tech Giants While Boosting PDD and Berkshire HathawayDuan Yongping (Trades, Portfolio), the renowned Chinese value investor and founder of

Nvidia has downsized plans ​for a $250 billion ‌guarantee for an OpenAI data ​center, the ​Wall Street Journal reported ⁠on Friday, ​citing people familiar ​with the matter.

Nvidia disclosed on Friday that its stake in Elon Musk's SpaceX was worth about $21 billion at the end of the second quarter.

The chipmaker said in a filing with the Securities and Exchange Commission that it owns 122.8 million Class A shares in Elon Musk's rocket maker, which held its public market debut in June.

SpaceX's stock closed at $140 on Friday, down from $170.86 at the end of June, so the value of Nvidia's shares have declined to about $17.2 billion.

It's Nvidia's second biggest holding behind its stake in Intel, which is currently worth about $22 billion, down from $30 billion when the quarter ended. That represents a massive return on Nvidia's $5 billion investment less than a year ago.

Nvidia is the sixth biggest investor in SpaceX, based on data from FactSet. Musk is by far the largest owner with a stake worth about $850 billion. Alphabet is second at roughly $78 billion.

Nvidia's shares in SpaceX came from the company's $10 billion investment in Musk's xAI as part of a $20 billion round in January, according to a person familiar with knowledge of the matter who asked not to be named because the exact size of the deal wasn't made public. SpaceX acquired xAI in February in a deal valued at $1.25 trillion.

Musk said on SpaceX's second-quarter earnings call earlier this month that the company will exclusively use Nvidia chips in its AI data centers. He said Nvidia's graphics processing units have the "best architecture" for training and inference of AI models, and related products and services.

Musk also said, on the call that he expects SpaceX will receive a "significant allocation" of Nvidia's Vera Rubin GPUs next year.

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Nvidia (NASDAQ:NVDA | NVDA Price Prediction) shares are starting to make a run for those all-time highs again, thanks in part to a reheating of the semiconductor trade and increased enthusiasm for the Vera Rubin era. Undoubtedly, GPUs are continuing to sell, and not much is going to change about that as AI demand stays through the roof, as hyperscalers look to raise the bar, perhaps significantly, on their CapEx going into year-end and into the new year.

There’s a lot of things to worry about, but, all the while, the stock just keeps getting cheaper Of course, investors have grown less comfortable with the state of hyperscaler ROIs of late, but, at the end of the day, it feels like big tech is going to need to keep spending to improve their chances of winning the AI race, even if it means disappointing many investors and, of course, convincing some of them to hit the sell button.

Add recent chatter about an AI bubble and growing concern about the increased risk appetite with this revolution, and it seems like those who are still up in Nvidia ought to start thinking about taking profits while they’re still ahead, even if it means selling at a price that’s supposedly far cheaper today than at any point in the past couple of years.

Like it or not, GPUs are going to keep selling, and earnings are going to keep marching higher in a way that could make shares of Nvidia look that much cheaper. But just how cheap does Nvidia have to get before the bargain hunters step in?

Given the cyclicality of semiconductors, maybe a price-to-earnings (P/E) multiple in the low-teens or perhaps even a single-digit P/E might not prove low enough for the skeptics insistent on timing the top of the cycle. In any case, Vera Rubin is a serious catalyst that might just allow the good times to keep coming for Jensen Huang and company.

The stage might be set for Nvidia’s next leg higher With hyperscaler CapEx on an accelerating curve and Elon Musk’s Space Exploration Technologies (NASDAQ:SPCX) poised to go exclusive to Nvidia chips, it feels like the AI heavyweights are willing to go the extra mile to cut to (or at least close to) the front of the line to grab Nvidia’s latest GPUs, which are worlds better than previous generations.

Indeed, when it comes to Vera Rubin, the new era of chips is 10x more efficient. That’s not just another incremental upgrade; that’s a game-changer, but not one that could mark the imminent event for Blackwell chips.

According to Susquehanna, Nvidia is likely to ramp its GB300 line of GPUs. Indeed, there won’t be enough Vera Rubin to go around in the earlier days, so such a chip might be needed to bridge that gap as hyperscalers continue to give the great buildout their all.

With quarterly earnings less than two weeks away and a $500 billion multi-firm AI infrastructure financing consortium in the bag, it feels like going “full speed ahead” is the only way to go. Any way you look at it, it’s Nvidia reigning as king in the early days of this AI revolution. And my guess is the reign stands to last a lot longer than skeptics think.

The bottom line Indeed, an eventual downfall may be inevitable, given the cyclical risks that, in my view, have been amplified by circular deal-making. More deal-making, more financing, and more loyalty might just be key to amplifying the next leg higher, though. And that makes Nvidia stock a really tough name to sell short. As the valuation multiples compress further in the looming Vera Rubin boom, I think going long beats going short.

Personally, I want to see where hyperscaler CapEx goes in 2027. Of course, by then, it might be too late to buy Nvidia stock at below $225 per share.

Contact [email protected] for any questions or corrections.

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The stock market’s most consequential company just made its financing intentions unmistakable. According to reporting from The Japan Times and Moomoo, NVIDIA has unveiled a roughly $500 billion compute financing plan to backstop AI infrastructure buildout, a move credit markets read as reassurance rather than a warning.

Against that backdrop, NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) trades at $225.30, sporting a $5.457 trillion market cap. Our 24/7 Wall St. price target for NVIDIA is $271.49, implying 20.5% upside over the next 12 months. The recommendation is buy with 90% model confidence.

24/7 Wall St. Price Target Summary Metric Value Current Price $225.30 24/7 Wall St. Price Target $271.49 Upside 20.5% Recommendation BUY Confidence Level 90% The $500 Billion Signal and a Recovering Chart NVDA is up 2.88% over the past week, 6.37% over the past month, and 20.95% year to date, with a 24.23% one-year gain. Shares sit near the $236.26 52-week high, well above the $163.85 low.

The most recent quarter showed why. Q1 FY2027 revenue of $81.615 billion grew 85.23% year over year, with non-GAAP EPS of $1.87 topping consensus by 5.42%. Data Center revenue reached $75.246 billion, up 92% YoY. Free cash flow hit $48.554 billion, funding a fresh $80 billion buyback authorization.

Why Bulls See a Breakout Ahead The bull case starts with visibility. Management pointed to $1 trillion in Blackwell and Rubin revenue visibility from 2025 through calendar 2027 and a new $200 billion TAM opened by the Vera CPU for agentic AI. Jensen Huang stated: “Demand has gone parabolic.

The reason is simple. Agentic AI has arrived.” The analyst consensus target of $302.83 reflects that view. Our bull-case scenario points to $315.44, or 40% upside, if Rubin ramps ahead of schedule and hyperscaler capex grows toward the $3 trillion to $4 trillion range Huang cited.

What Could Go Wrong The bear case rests on three pressure points: China remains gated (Q2 FY2027 guidance of $91 billion excludes any China Data Center compute revenue), gross margins transition as Blackwell ramps against Hopper, and $119 billion in supply commitments raise stakes if demand normalizes.

Bulls counter by pointing to 75% non-GAAP gross margins and record free cash flow. The bear scenario lands at $234.28, or 3.99% upside.

How NVIDIA Compares to AMD and Broadcom AMD (NASDAQ:AMD) is the closest accelerator competitor. AMD’s Q2 FY2026 revenue of $11.54 billion grew 50.1% YoY, with Data Center revenue doubling to $6.72 billion. AMD trades at a trailing P/E of 182, roughly 5x NVDA’s 34. On growth-adjusted profitability, NVDA looks cheaper than its most direct rival.

Broadcom (NASDAQ:AVGO) is the AI networking and custom-silicon counterpoint at a $1.99 trillion market cap. AVGO’s Q2 FY2026 revenue of $22.19 billion grew 47.9% YoY, with AI chip revenue of $10.8 billion up 143%.

Yet NVDA grows Data Center revenue faster in absolute dollars and dominates the merchant GPU stack. The peer group makes our $271.49 target look reasonable, arguably conservative.

NVIDIA Price Prediction 2026-2030 The 24/7 Wall St. price target for NVIDIA is $271.49, buy, 90% confidence. The tipping factor is capital allocation credibility. The $500 billion financing framework calmed credit markets, and the buyback authorization signals internal conviction.

The bull thesis strengthens if Rubin production shipments in Q3 track guidance. The thesis weakens if hyperscaler capex commentary softens over the next two earnings cycles.

Year 24/7 Wall St. Price Target 2026 $271.49 2027 $318 2028 $355 2029 $378 2030 $397.86 These projections assume NVIDIA executes on the Blackwell and Rubin roadmaps and hyperscaler capex compounds toward the trillions Huang has forecast. Significant upside or downside could come from China policy reversals, custom-silicon share gains by hyperscalers, or a broader AI capex reset.

Contact [email protected] for any questions or corrections.

Kyle Reidhead offers his insight into Nvidia's (NVDA) $500 billion AI infrastructure funding push that involves six key financial firms. GPUs having a longer life than many expected is something he sees adding value to this push.

As part of his latest stage of increasing short positions against stocks involved in the artificial intelligence (AI) ‘boom,’ Michael Burry drew a stark comparison when he claimed there were ‘echoes of Enron’ in Nvidia’s (NASDAQ: NVDA) recent moves.

Specifically, in a recent Substack post, the legendary investor referenced the former energy giant’s efforts to hide its vast debt when he opined that a recent $500 billion scheme to fund AI infrastructure was little more than ‘a marketing stunt.’

Indeed, according to Burry, the supposed deal with a long list of major financial institutions is meant to distract from the rising costs of insuring Nvidia’s debt, while also noting it was akin to ‘Enron’s effort to make wholesale power an investable class.’

The title of Jensen Huang’s X article on the matter is titled ‘NVIDIA AI Factory Compute Is Becoming an Investable Asset Class,’ making the comparison easy to make.

Simultaneously, Michael Burry reflected on why the latest developments concern him by adding that:

Structuring credit is a natural part of the system. Structuring unnatural credits to prolong momentum late in the bull phase is where the worry comes in. The marketing spin here is that it would be un-American to oppose more leverage.

Notably, however, Burry also deleted an X post in which he shared a Telegraph article covering his comparisons with Enron sometime between August 13 and August 14.

Why Nvidia has been unable to escape Enron comparisons
Elsewhere, while Nvidia’s business appears significantly different than Enron’s and no clear proof of what might be described as fraud emerged, the semiconductor giant has been plagued with similar comparisons for years.

A key – and vehemently denied – reason for the suspicion has been what appears to be rampant circular financing. So far, Nvidia has invested billions in various companies involved with AI that have then turned into the chipmaker’s customers.

Furthermore, many of said buyers are themselves relatively new companies that benefit from funds designed for startups, but that then effectively forward the money they received to the semiconductor giant either directly or via cloud providers who also get their hardware from the world’s largest company.

Another accusation has been that Nvidia is evading U.S. export restrictions to the People’s Republic of China using various Asian intermediaries, with Singapore being an alleged hub for the activity. No clear proof of the supposed activity has emerged by press time on August 14.

Does the latest Nvidia $500 initiative address circular financing allegations?
Meanwhile, though Nvidia has generally refrained from reflecting on the Enron comparisons since penning the ‘We are not Enron’ memo, the recent AI infrastructure agreement was explicitly made to alleviate the circular financing criticism:

Is this circular financing? This initiative is designed to address that concern. We are bringing independent, long-term institutional capital into the AI infrastructure market.

Additionally, the ‘strategic partnership’ came with its own caveat, as it is in the form of ‘memorandums of understanding’ (MoU) with six other firms that are, as the disclaimer at the end of the chipmaker’s press release states, ‘subject to execution of the final agreements.’

In the second half (H2) of 2025, Nvidia signed an MoU with OpenAI that was widely reported as a $100 billion investment in the most prominent AI company in the world. That particular investment never materialized and was replaced by a different, substantially smaller agreement.

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Picture a 64-year-old with a mid-seven-figure 401(k) doing exactly what retirement manuals recommend. With his last day of work approaching, he moves part of the account out of stocks and into a target-date fund’s steadier holdings. Less excitement, more protection.

At least that is the idea. Wall Street is now laying the groundwork to turn AI infrastructure debt into an asset class for the enormous pools of capital managed on behalf of insurers, pension funds and, potentially, ordinary retirement savers. The side of his portfolio labeled conservative may eventually share more DNA with the growth side than he realizes.

NVIDIA (NASDAQ: NVDA) | NVDA Price Prediction recently announced partnerships with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs and KKR aimed at mobilizing more than $500 billion of outside capital for AI infrastructure. The agreements remain in the early stages, and the firms have not disclosed how much each would contribute or where the resulting investments would ultimately be placed.

The ambition is clear, though. Goldman Sachs CEO David Solomon described the opportunity as building a market for credit backed by NVIDIA computing systems. Instead of tech companies paying cash for every chip and data center, Wall Street would seemingly package the financing into investments that could be held by institutions seeking long-term income.

A Door Wall Street Wants Opened
Most of the retirement capital under discussion belongs to institutional pools such as pensions and insurers. The Department of Labor has proposed rules that would make it easier for 401(k) plans to offer funds containing private-market assets, including private credit and infrastructure. For now, Wall Street is building the product while regulators consider widening its path into individual accounts. What eventually matters to workers is what plan sponsors carry through that door.

For savers, that door could provide access to institutional investments and income streams that have largely remained outside ordinary 401(k)s.

When Two Sleeves Depend on the Same Trade
A target-date fund normally becomes more conservative as retirement approaches by shifting money from stocks toward bonds and other income investments. If private AI loans enter that mix, the label may reveal less about the underlying risk. Private credit can be harder to value and sell than publicly traded bonds. It can also carry higher fees. With the 10-year Treasury yielding around 4.7%, an alternative investment must offer enough additional return to compensate for those drawbacks.

The potential reward is higher income backed by negotiated loan terms that may give lenders protections public shareholders do not have.

Then comes the overlap. His stock allocation may own NVIDIA and major AI spenders through an S&P 500 or large-cap index fund. If the income side eventually lends money to NVIDIA customers or data centers filled with its chips, both halves of the portfolio could become dependent on the same AI expansion. He would not own the same security twice. He would carry two different claims on the same economic story. If AI demand keeps climbing, both may perform well. If data-center construction slows or chip values fall faster than expected, the stock and income sleeves could wobble together.

Why Wall Street Thinks It Can Work
The loans are not automatically reckless. NVIDIA chips can be moved between operators, and the company’s CUDA software may keep older systems commercially useful for longer than typical computer hardware. CEO Jensen Huang has also said NVIDIA could backstop as much as 25% of potential deals. Those protections could make AI equipment more useful as collateral. They do not remove utilization risk, illiquidity or the possibility that newer chips make older systems less valuable. The return still has to justify the uncertainty.

Look Beneath the Fund Label
Before assuming the conservative half of his portfolio is plain-vanilla fixed income, he can take three practical steps.

Check the prospectus and latest holdings for each target-date, balanced or bond fund. Look for private credit, direct lending, infrastructure debt and alternative investments.
Review the allocation, fees and liquidity terms rather than stopping at the fund’s name.
Compare any AI-linked debt exposure with the technology and semiconductor holdings already sitting in the stock allocation.

AI credit may earn a place in the income sleeve if its yield and protections justify the concentration, fees and illiquidity. The income side of a retirement account is supposed to give the investor somewhere else to stand when stocks stumble. If both sides are financing the same boom, the statement may show diversification that disappears when it matters.

Contact [email protected] for any questions or corrections.