Track market-moving stories before they get noisy

A Princeton economist's back-of-the-napkin calculation reveals a class of American business owners so wealthy they make the Forbes 400 look like a rounding error, and almost none of them run tech companies.

On Marketplace Morning Report, economist Owen Zidar delivered a number that reframes how investors should think about American wealth. Asked how much the country’s hidden business-owner class actually holds, he answered: “We estimate that there are around 3 million everywhere millionaires who are business owners outside of tech and finance who have at least $5 million” and “Collectively it’s around $50 trillion, which is enormous. The Forbes 400 only has about a tenth of that.”

That comparison lands with force in the current market. A tenth of $50 trillion is roughly $5 trillion, the estimated combined net worth of every name on the Forbes 400. One single company, NVIDIA (NASDAQ:NVDA | NVDA Price Prediction), carries a market capitalization of $5,271,048,421,000. One chip designer in Santa Clara is worth about as much as every billionaire on the Forbes list combined, and still only about a tenth of what flooring, rubber-mat, and toilet-paper business owners quietly hold.

Why NVIDIA Became the Public Face of AI Wealth NVIDIA’s scale reflects genuine operating performance. Over the last five years, the stock has returned 853.99%, and over the last decade it has climbed 13,663.8%. That performance minted a generation of retail millionaires whose portfolios rode a single ticker.

The fundamentals continue to support the valuation. In the Q2 FY2027 report filed August 26, 2026, NVIDIA posted revenue of $96.22 billion, up 105.8% year over year, with Data Center revenue reaching $89.02 billion. Non-GAAP EPS came in at $2.22 against a $2.09 consensus. Management guided Q3 revenue to $108.0 billion, plus or minus 2%, and expects to grow fiscal 2028 revenue by approximately 70%, a figure CEO Jensen Huang described as “a supply-constrained outlook.” Full disclosure is in the Q2 FY2027 8-K.

Huang framed the moment on the earnings call: “AI has reached its inflection point. It’s doing useful work. Its tokens are productive and profitable. Now, compute is revenue.” He also flagged that cloud industry backlog now exceeds $2 trillion, with the top five hyperscalers projected to spend nearly $800 billion in 2026 and $1.3 trillion in 2027.

Where the Money Actually Sits The Zidar and Eric Zwick thesis reframes the wealth map. Their “stealthy wealthy” are private business owners in industries most investors never think about: elementary-school carpet replacement, automotive rubber mats, toilet-paper distribution. Co-author Zwick has pointed to figures like Dick Portillo, who built a suburban Chicago hot dog stand into a nine-figure enterprise, and Terry Taylor, a car dealer with an estimated $2 billion net worth who avoids press coverage entirely [Source: Stealthy wealthy podcast explainer].

Altrata’s Billionaire Census 2026 corroborates the concentration story from the top down: the global billionaire population reached 3,795 individuals in 2025 with total wealth of $15.1 trillion, and billionaires comprise just 0.07% of the world’s roughly 5.9 million individuals with more than $5 million in net worth. The vast majority of wealth sits below the billionaire tier, in private company equity that never trades on a public exchange.

Contact [email protected] for any questions or corrections.

Nvidia is letting a rival chipmaker plug directly into its own racks, and the move only looks like a concession until you follow the money through every layer of the data center.

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A company that sells the most sought-after AI accelerators on earth is now helping a competitor’s accelerator slot into its own racks. NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) has opened part of its infrastructure ecosystem to d-Matrix, a Microsoft (NASDAQ:MSFT)-backed inference chip startup last valued at approximately $2 billion.

D-Matrix plans to wire its Raptor processors into Nvidia-powered systems using the NVLink Fusion interconnect, with the first rack-scale products expected in 2027. That would be after Raptor tapes out near the end of 2026.

Nvidia has not disclosed the financial terms of the arrangement. The counterintuitive idea worth exploring is whether Nvidia earns more as the toll collector for AI data centers than it would by trying to win every chip sale inside them.

What NVLink Fusion Actually Does NVLink is the high-speed fabric that lets racks of GPUs behave like one computer. NVLink Fusion extends that fabric to selected partners so their silicon can plug into Nvidia’s rack, share memory bandwidth, and speak the same language as Nvidia’s GPUs and CPUs.

For d-Matrix, that connection matters more than the chip itself. Inference accelerators live or die on how quickly they can reach model weights and pass tokens back to a host system.

For Nvidia, licensing the fabric turns a proprietary bus into an industry standard. Marvell (NASDAQ:MRVL) joined NVLink Fusion earlier this year, and Groq is being integrated at the rack level, with the CFO calling out a “Strategic partnership with Marvell via NVLink Fusion” in the most recent quarter.

Chief executive Jensen Huang framed the logic bluntly on the last earnings call: “AI has reached its inflection point. It’s doing useful work. Its tokens are productive and profitable. Now, compute is revenue.”

Toll Collector Case Even when a partner supplies the principal accelerator, Nvidia keeps collecting from networking, CPUs, NVLink switches, BlueField storage, and CUDA software. Data-center networking alone brought in $40.31 billion, up 138% year over year last quarter.

Rack economics reinforce the point. Nvidia now pegs data-center revenue per gigawatt at roughly $18 billion for Hopper, $25 billion for Blackwell, and $40 billion for Vera Rubin, because the AI factory now includes far more than GPUs.

Accelerator leadership changes hands faster than interconnect standards do. Once hyperscalers standardize their racks on NVLink Fusion, swapping GPUs for a rival part still leaves Nvidia inside the machine, charging for the plumbing. Someone has to power, cool, and network all that buildout, and we pulled together seven of those non-chipmaker suppliers in a free AI infrastructure report.

Total revenue reached $96.22 billion, up 105.8% year over year, and management guided the current quarter to $108.0 billion. Ecosystem expansion is funding that curve.

Where This Could Go Wrong Opening the racks hands specialized inference competitors a credible on-ramp to a workload where Nvidia’s GPU margins are fattest. Inference is precisely where custom silicon competes best on cost and power.

If Raptor and similar parts prove several times more efficient per token, hyperscalers could shift the highest-volume workloads off Nvidia GPUs while keeping the fabric. Nvidia would still collect a toll, but a smaller one.

Gross margin already tells part of that story. Management expects margins to bottom in the 71% to 72% range in the fourth quarter before recovering.

The hindsight-mistake scenario is straightforward: NVLink Fusion becomes the standard, third-party accelerators capture inference share, and Nvidia’s per-rack dollar content stops climbing. That risk is real.

Is NVDA Stock a Buy? At $218.29, Nvidia trades at a forward P/E near 24x with analyst consensus at $327.18.

Ecosystem partnerships with d-Matrix, Groq, and Marvell strengthen Nvidia’s position more than they erode it, because the fabric is the durable asset. Call it a Buy, though I’d be more careful over the near term, as rising oil prices and Treasury yields could spell trouble for the broader market as a whole, and NVDA stock can fall even if earnings do well.

Contact [email protected] for any questions or corrections.

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Nvidia (NVDA +0.56%) is arguably the most recognizable name for artificial intelligence (AI) investors, but there have been some even better-performing stocks over the past five years. While Nvidia has rallied around 850% during that time frame, the three stocks on this list have done even better.

Dell Technologies (DELL +2.13%), Micron Technology (MU -0.05%), and Super Micro Computer (SMCI -2.06%) have all generated better returns. Each one of them would have also turned a $10,000 investment into more than $100,000 by now.

Here's how much that size of an investment would be worth today, why these stocks have soared, and whether they can continue rising higher.

Image source: Getty Images.

Dell TechnologiesA $10,000 investment in Dell would be worth approximately $119,000 today. It's been a terrific rally for the tech stock, with a significant chunk of its gains coming within the past year, as the company has benefited from insatiable demand for AI servers.

Dell recently posted its quarterly numbers, with its top line rising by 58%. And the company continues to see strong growth ahead, recently upgrading its full-year forecast for fiscal 2027 (which ends in January) to $192 billion, representing a year-over-year increase of around 69%.

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Demand has been robust for Dell, which is experiencing growth in many areas of its business, not just AI servers. The stock is up over 330% in just the past 12 months, and with potentially even stronger results ahead, the stock may still have even more upside from here on out.

Micron TechnologyThe stock with the highest returns on this list is Micron Technology. Like Dell, it's been skyrocketing in the past year. In Micron's case, it's due to a shortage of memory and storage products, which the company has capitalized on by raising prices. The result is that not only are Micron's sales through the roof, but its margins are also incredibly high. A $10,000 investment in the company five years ago would now be worth around $129,000.

During its most recent quarter, which ended on May 28, revenue soared an incredible 346% year over year, while net income skyrocketed nearly 1,400%. It's a staggering level of growth. And although it is highly impressive, it also raises questions as to how long these kinds of results can go on for, and how sustainable they really are. The risk is that as the shortage ends and more supply comes online, prices may come down sharply.

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The shortage doesn't appear to be ending anytime soon, which is good news for AI investors. But Micron is a stock I'd watch carefully, because it can be highly volatile due to the outlook for the memory market. Although its valuation may appear modest based on earnings, if its margins shrink, the stock could quickly look far more expensive.

Super Micro ComputerI've left the riskiest, most volatile stock for last. Super Micro, which more commonly goes by just Supermicro, is also in the business of selling AI servers. A $10,000 investment in the company five years ago would be worth right around $102,000 right now.

However, poor margins and controversy involving its executives and internal controls have weighed down the stock significantly in recent years. In the past 12 months, the stock has declined by 20%. And while it trades at a seemingly low valuation -- just 11 times earnings -- investors are hesitant to buy the stock, given all the question marks around the business.

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At around $24 billion in market cap, Supermicro is by far the smallest company on this list, as having a low valuation has played a big role in the stock's significant gains in recent years, even despite the uncertainty surrounding its business, as it's made a name for itself with AI investors.

Industry safety warnings have not canceled orders, yet Nvidia's concentrated revenue leaves little tolerance for hesitation. Summary

Nvidia recovered part of Monday’s loss while the market reconsidered the AI spending trajectory.

Nvidia NVDA, the dominant artificial-intelligence accelerator supplier, rebounded about 1.1% to $213.24 Tuesday morning after sliding more than 3% in the previous session. The bounce shows investors are not abandoning the AI trade just yet. Calls for slower frontier-model development have injected a new layer of uncertainty, but there is still no disclosed evidence of major Nvidia customers cancelling chip orders or delaying their massive data-center buildouts.

The spending backdrop remains enormous. Reuters cited BofA Global Research estimates showing Microsoft, Alphabet GOOG, Amazon AMZN, Meta META and Oracle ORCL could collectively pour roughly $795 billion into capital expenditures in 2026 before pushing that figure to $1.08 trillion in 2027. That would represent an increase of about 36% in a single year, keeping powerful demand underneath AI accelerators, networking equipment and memory. Tighter AI-safety rules could change the pace of deployment, but investors would need to see actual project delays or budget cuts before the core Nvidia demand story materially weakens.

Nvidia's latest quarter makes the size of that exposure clear: data-center revenue reached $89 billion, representing about 92.5% of total quarterly sales, while management is targeting approximately $108 billion in third-quarter revenue. The GuruFocus graphic adds another strong signal, giving Nvidia a GF Score of 95 out of 100, with particularly high readings for profitability, growth and financial strength, alongside solid momentum; GF Value is the obvious weaker area. Tuesday's 1.1% recovery still claws back only about one-third of Monday's percentage decline, suggesting the market continues to believe in Nvidia's AI growth engine while demanding a larger cushion against any slowdown in hyperscaler spending.

Disclosures I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours.

Click for the complete disclosure

The AI trade may be about to grow far beyond GPUs. At the All-In Summit, President Donald Trump called data centers "the oil of the next 20–25 years," arguing that they are making states and communities wealthy. Data proves otherwise.

Nvidia Corp. (NASDAQ:NVDA) CEO Jensen Huang agreed with the broader thesis, tying the surge in AI infrastructure to America’s industrial resurgence. Huang said roughly $400 billion in venture financing has flowed into AI companies over the past six months, creating jobs and enormous demand for computing power — which is, in turn, driving demand for data centers.

But that buildout is also creating a backlash in communities.

Costs Become Hard to IgnoreTrump said communities that were once struggling are now benefiting from data-center investment and warned that America cannot afford to slow the AI buildout.

But consider the facts: A single large AI data center can consume as much electricity as 100,000 homes, while the World Resources Institute estimates data centers could account for as much as 12% of U.S. electricity consumption by 2028.

Last year alone saw over $60 billion in rate increases, and the Energy Efficiency and Sustainable Infrastructure group says utilities are passing the cost of new generation, transmission and other infrastructure onto consumers, while electricity prices rose 11.5% in 2025.

Also, data centers reportedly create few lasting jobs — often fewer than 150 people, sometimes just 25 — once construction ends. Generous state tax breaks mean the touted economic gains (like the $162 billion in government revenue by 2023) look smaller once abatements are netted out, while local governments can still be stuck covering water and grid upgrades long after.

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AI Infrastructure Goes Beyond GPUsHuang, whose net worth is currently estimated at about $183 billion, describes AI as a "new industrial revolution." It requires not just chips but manufacturing, electricity, and physical infrastructure to produce intelligence at scale. The catch is that all three are becoming sources of friction for the communities hosting the boom.

That broadens the investor opportunity beyond Nvidia. Power generators such as Vistra Corp. (NYSE:VST) and Constellation Energy Corporation (NASDAQ:CEG), electrical-equipment makers GE Vernova Inc. (NYSE:GEV) and Eaton Corporation, PLC (NYSE:ETN), and data-center REITs Digital Realty Trust, Inc. (NYSE:DLR) and Equinix, Inc. (NASDAQ:EQIX) could all sit along the AI infrastructure chain.

While these companies benefit from Trump’s oil comparison, that boom comes at a cost.

Beyond rising electricity demand, water consumption, and infrastructure spending, there’s also the environmental toll. Elon Musk‘s xAI and other tech companies, for example, currently face major federal and local lawsuits over air pollution, noise, and unpermitted power equipment at AI data center sites.

And new builds in states like California have clustered near lower-income communities.

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The biggest AI infrastructure players may have a planning problem. NVIDIA Corp‘s (NASDAQ:NVDA) CEO Jensen Huang says hyperscalers are "always almost wrong" because they plan capacity once a year while AI demand is changing too quickly to fit an annual calendar.

His workaround? Build a much larger network of nimble regional clouds.

• NVIDIA shares are consolidating. What should traders watch with NVDA?

Hyperscalers Can’t Move Fast EnoughThe unusual admission came during the All-In Summit, when the hosts pressed Huang on Nvidia’s support for neocloud companies and the need for more competition at the hyperscale layer.

Huang said Nvidia would be happy with five hyperscalers, but argued the industry ultimately needs 50, 100 or even 1,000 neoclouds. The reason is speed: hyperscalers typically plan their infrastructure once a year, while AI market dynamics are moving so rapidly that those forecasts can quickly become obsolete.

That creates an opening for regional cloud providers that can react faster to local demand and infrastructure constraints.

Read Next

Nvidia’s Distributed AI BetHuang said regional clouds know their markets and can move quickly to secure land, power and existing facilities, something that is harder for companies operating from Silicon Valley or Seattle to coordinate globally. Nvidia is consequently building what Huang described as a large-scale distributed network of companies securing those critical resources.

The strategy is already moving beyond the U.S. Huang pointed to activity in Australia and Southeast Asia, saying Nvidia is helping bring additional gigawatts of capacity online through regional cloud partners.

That could matter enormously for Nvidia. The company does not necessarily need every AI workload to run through a handful of hyperscalers if it can help create hundreds of smaller customers that collectively consume massive amounts of Nvidia hardware.

It also reinforces a broader shift in the AI infrastructure trade. The bottleneck is increasingly not simply who has the best chips, but who can secure the electricity, land and data center capacity needed to deploy them.

For investors, Huang’s neocloud strategy offers a different way to think about Nvidia’s next growth phase: instead of betting on fewer giant AI customers, Nvidia is helping build an army of smaller ones.

And in an industry moving faster than an annual planning cycle, that flexibility could become a competitive advantage.

Read Next

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Inside Nvidia's newest rack-scale AI supercomputer, a single line item on the bill of materials is swallowing the lion's share of a $4 million build, and it tells you exactly who wins and loses as hyperscalers race to spend $1.3…

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Number That Reframes the Vera Rubin Trade Inside an NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) VR200 NVL72 rack-scale AI supercomputer, 70% of the roughly $4 million bill of materials goes to one line item: the Rubin GPUs themselves, excluding their high-bandwidth memory. That figure comes from an HSBC estimated bill of materials for the VR200 NVL72 platform, and it is the cleanest single data point yet on where the AI infrastructure dollar actually lands. DRAM adds another 13%, HBM 9%, NAND 2%, NVLink 2%, cooling 2%, power supply 1%, and the CPU 1%.

What 70% Actually Tells You In an era where every hyperscaler is trying to bend the AI capex curve, the VR200 breakdown says the GPU is still where the value concentrates. Nvidia is selling the rack, and the silicon it designs takes seven of every ten dollars a customer spends to fill it. That maps to what CEO Jensen Huang told investors on the fiscal Q2 2027 call: “Today, we’re not just selling the best chips. We’re selling a full-stack AI factory platform.”

The scale of that platform is showing up in the reported numbers. Nvidia’s data center revenue hit $89.02B in Q2 FY2027, up 117% year over year, on total revenue of $96.22B with a non-GAAP gross margin of 75.0%. Management guided fiscal Q3 revenue to $108.0B plus or minus 2%, and expects Vera Rubin to account for about 20% of data center revenue in Q3. Huang described the platform economics bluntly: “For Hopper, we were at about 18 billion per gigawatt. For Grace Blackwell, we’re about 25 billion per gigawatt. And for Vera Rubin, it’s about 40 billion per gigawatt.”

Market Reaction NVDA trades at $212.35 intraday, down 7.71% over the past week and down 5.58% over the past month, as tech leaders publicly floated an AI slowdown narrative (MarketWatch, Sept. 14, 2026). Zoom out and the picture looks different: shares are up 14.13% year to date and up 854.66% over five years. Peer memory suppliers are riding the same wave. Micron Technology (NASDAQ:MU) trades at $929.17, up 225.76% year to date, and SK hynix (NASDAQ:SKHY) trades at $175.21.

Bull Case The 70% figure is a value-capture story. Every rack Nvidia ships routes the majority of its BOM back to Nvidia’s own silicon, and the demand for those racks is already booked. Huang told analysts Nvidia has “already received purchase orders from every major hyperscaler, AI cloud, and system OEM” and expects Vera Rubin to be the fastest product ramp in company history. Supply is the ceiling: “We expect to grow revenue by approximately 70% in fiscal 2028” while customer forecasts imply doubling, because “at this moment, we have supply for 70%.”

The demand pool behind that constraint is unusually concrete. Top-five hyperscaler capex is expected to reach nearly $800 billion in 2026 and $1.3 trillion in 2027, AWS is deploying an additional 2 million GPUs, and OpenAI’s commitments represent roughly 12 gigawatts of NVIDIA compute. Nvidia backed the visibility with balance sheet: total supply obligations surged to $279.0B, largely tied to memory procurement for Vera Rubin production.

The 24% of BOM sitting in DRAM and HBM is the reason Micron and SK hynix keep printing records, and it is why Nvidia has locked in a multiyear technology partnership with SK hynix for next-generation memory. Micron’s fiscal Q3 gross margin hit 84.9% on revenue of $41.5 billion, with management flagging tight DRAM and NAND conditions beyond calendar 2027. That pricing pressure is real for Nvidia, and the company acknowledged margins bottoming in Q4 in the 71% to 72% range before recovering. But the 70% BOM share means the price hikes Nvidia is passing through to customers matter more to the P&L than the memory bills it is paying. The other 30% of the rack (memory, cooling, power, networking) is its own investable theme, and we profiled seven suppliers behind that buildout in a free report on the AI stocks that aren’t chipmakers.

Bottom Line For long-term holders, the number reframes the debate. The AI slowdown chatter dominating this week’s headlines assumes the GPU tier is commoditizing. The VR200 BOM says the opposite: Nvidia’s silicon is still where the AI capex dollar lands, and the platform is expanding into CPUs, networking, and software around it. At a forward P/E of 24 with Q3 FY2027 guidance of $108.0B and Vera Rubin ramping into every hyperscaler order book, the setup rewards patience over the next few gigawatts of buildout, not just the next earnings report.

Contact [email protected] for any questions or corrections.

CNBC's Kate Rooney reports on news regarding the divide in AI regulation.

Forum Financial Management LP raised its stake in shares of NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 25.9% during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 69,037 shares of the computer hardware maker’s stock after purchasing an additional 14,205 shares during the period. NVIDIA accounts for about 0.2% of Forum Financial Management LP’s portfolio, making the stock its 14th biggest position. Forum Financial Management LP’s holdings in NVIDIA were worth $13,814,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors have also modified their holdings of the company. Lifetime Wealth Management P.C. bought a new stake in NVIDIA in the fourth quarter worth $26,000. Longview Financial Advisors Inc. bought a new position in NVIDIA during the first quarter valued at $27,000. Phillip James Consulting Co. bought a new position in NVIDIA during the first quarter valued at $40,000. Syntax Research Inc. raised its stake in shares of NVIDIA by 62.5% in the fourth quarter. Syntax Research Inc. now owns 260 shares of the computer hardware maker’s stock valued at $49,000 after acquiring an additional 100 shares during the period. Finally, Frankly Finances LLC purchased a new stake in shares of NVIDIA in the second quarter valued at $60,000. 65.27% of the stock is owned by institutional investors.

NVIDIA Trading Down 3.4% Shares of NVDA opened at $210.96 on Tuesday. The firm has a market capitalization of $5.08 trillion, a price-to-earnings ratio of 26.67, a PEG ratio of 1.71 and a beta of 2.22. The company has a debt-to-equity ratio of 0.14, a current ratio of 4.59 and a quick ratio of 3.85. NVIDIA Corporation has a 1-year low of $164.27 and a 1-year high of $236.54. The company has a 50-day moving average of $213.60 and a 200 day moving average of $203.54.

NVIDIA (NASDAQ:NVDA – Get Free Report) last issued its earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, topping analysts’ consensus estimates of $2.09 by $0.13. The business had revenue of $96.22 billion for the quarter, compared to the consensus estimate of $92.27 billion. NVIDIA had a net margin of 63.66% and a return on equity of 96.04%. The company’s revenue for the quarter was up 105.9% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.05 EPS. On average, research analysts expect that NVIDIA Corporation will post 9.12 EPS for the current year. NVIDIA announced that its board has authorized a share buyback program 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 programs are typically an indication that the company’s board of directors believes its shares are undervalued.

NVIDIA Dividend Announcement The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Thursday, September 10th will be paid a $0.25 dividend. The ex-dividend date of this dividend is Thursday, September 10th. This represents a $1.00 annualized dividend and a yield of 0.5%. NVIDIA’s dividend payout ratio is 12.64%.

Insider Activity at NVIDIA In other NVIDIA news, Director Mark Stevens sold 885,000 shares of the firm’s 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 transaction, the director directly owned 5,207,271 shares in the company, valued at $1,094,412,146.07. This trade represents a 14.53% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, EVP Timothy Teter sold 30,000 shares of NVIDIA stock in a transaction on Monday, August 31st. The shares were sold at an average price of $217.88, for a total value of $6,536,400.00. Following the sale, the executive vice president directly owned 2,687,660 shares of the company’s stock, valued at approximately $585,587,360.80. This trade represents a 1.10% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 2,585,740 shares of company stock worth $571,015,527. 3.94% of the stock is owned by insiders.

More NVIDIA News Here are the key news stories impacting NVIDIA this week:

Positive Sentiment: CEO Jensen Huang publicly rejected the idea of an AI slowdown and told President Donald Trump that NVIDIA would not allow one to happen. Trump also criticized opposition to new data centers, signaling continued political support for AI infrastructure investment. NVIDIA CEO Jensen Huang tells Trump about AI slowdown Positive Sentiment: NVIDIA’s underlying demand story remains strong: recent earnings showed revenue growth of more than 100%, while management has indicated that supply—not customer demand—is limiting expansion. Analysts continue to view NVIDIA favorably relative to other AI infrastructure companies because of its faster growth, strong margins and lower leverage. NVIDIA versus Marvell AI infrastructure comparison Positive Sentiment: The company expanded its open-source CUDA-Q platform with CUDA-Q Logical, which connects GPUs with quantum processors and could generate longer-term demand for NVIDIA accelerated-computing and networking systems. Fermilab reportedly reduced a fault-tolerant design cycle from five months to three weeks using the platform. NVIDIA expands CUDA-Q for quantum computing Neutral Sentiment: NVIDIA is reportedly considering a large investment in Anthropic and continues to pursue strategic investments across AI infrastructure. Such moves could strengthen ecosystem demand, but the Anthropic investment has not been presented as a finalized transaction. NVIDIA investment discussions involving Anthropic Negative Sentiment: Anthropic, OpenAI and other AI executives have called for a more measured pace of frontier-model development. Investors interpreted those comments as a potential threat to hyperscaler capital spending, GPU demand and the pace of data-center expansion, pressuring NVDA and peer chip stocks. NVIDIA stock and AI slowdown concerns Negative Sentiment: Management expects higher memory costs to weigh on gross margins, while NVIDIA’s reliance on a relatively small number of major customers creates concentration risk. These concerns make the stock vulnerable to profit-taking when AI spending expectations soften. Analysts Set New Price Targets Several research firms have recently issued reports on NVDA. China Renaissance raised their target price on shares of NVIDIA from $319.00 to $330.00 and gave the stock a “buy” rating in a report on Monday, August 31st. Cantor Fitzgerald reissued an “overweight” rating and issued a $350.00 price objective on shares of NVIDIA in a research report on Monday, August 24th. HSBC raised their price objective on shares of NVIDIA from $360.00 to $365.00 in a research note on Thursday, August 27th. Stifel Nicolaus set a $315.00 target price on NVIDIA in a research report on Thursday, August 27th. Finally, Raymond James Financial set a $515.00 target price on NVIDIA and gave the company a “strong-buy” rating in a research note on Thursday, August 27th. Three analysts have rated the stock with a Strong Buy rating, fifty have issued a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Buy” and an average price target of $324.34.

View Our Latest Report on NVIDIA

About NVIDIA (Free Report)

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processors and related software. Its products are used for artificial intelligence, machine learning, high-performance computing, computer graphics, data-center applications and other workloads that benefit from parallel processing.

The company’s offerings include GeForce graphics processing units (GPUs) and software for gaming and personal computers; data-center GPUs, systems and networking products; and professional visualization solutions for design, engineering, media and scientific applications.

Further Reading Five stocks we like better than NVIDIA Analysts Are Punting Their Calls Into the Next Quarter After Adobe’s Mixed Earnings Institutional Money Is Pouring Into These 2 Altcoin ETFs The End of Big Tech Buybacks? Only One Hyperscaler Is Still Repurchasing Shares 3 Dividend Kings to Buy While They’re Still Beaten Down

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Saratoga Research & Investment Management lifted its position in shares of NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 14.3% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 384,865 shares of the computer hardware maker’s stock after purchasing an additional 48,141 shares during the quarter. NVIDIA makes up about 4.2% of Saratoga Research & Investment Management’s investment portfolio, making the stock its 9th largest position. Saratoga Research & Investment Management’s holdings in NVIDIA were worth $77,008,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also modified their holdings of NVDA. BWM Planning LLC grew its stake in shares of NVIDIA by 43.8% during the second quarter. BWM Planning LLC now owns 4,699 shares of the computer hardware maker’s stock valued at $940,000 after purchasing an additional 1,432 shares during the last quarter. Financial Consulate Inc. lifted its stake in shares of NVIDIA by 5.5% during the second quarter. Financial Consulate Inc. now owns 28,859 shares of the computer hardware maker’s stock valued at $5,774,000 after acquiring an additional 1,511 shares during the period. Eaton Cambridge Inc. boosted its holdings in NVIDIA by 3.8% in the second quarter. Eaton Cambridge Inc. now owns 22,870 shares of the computer hardware maker’s stock valued at $4,576,000 after acquiring an additional 842 shares during the last quarter. Hoertkorn Richard Charles increased its position in NVIDIA by 48.3% in the second quarter. Hoertkorn Richard Charles now owns 11,056 shares of the computer hardware maker’s stock worth $2,212,000 after purchasing an additional 3,600 shares during the period. Finally, Forum Financial Management LP increased its position in NVIDIA by 25.9% in the second quarter. Forum Financial Management LP now owns 69,037 shares of the computer hardware maker’s stock worth $13,814,000 after purchasing an additional 14,205 shares during the period. Institutional investors own 65.27% of the company’s stock.

NVIDIA Trading Down 3.4% NVDA opened at $210.96 on Tuesday. The stock has a market capitalization of $5.08 trillion, a P/E ratio of 26.67, a P/E/G ratio of 1.71 and a beta of 2.22. The company has a current ratio of 4.59, a quick ratio of 3.85 and a debt-to-equity ratio of 0.14. NVIDIA Corporation has a 12 month low of $164.27 and a 12 month high of $236.54. The firm’s fifty day simple moving average is $213.60 and its 200 day simple moving average is $203.54.

NVIDIA (NASDAQ:NVDA – Get Free Report) last released its quarterly earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.09 by $0.13. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%.The firm had revenue of $96.22 billion for the quarter, compared to the consensus estimate of $92.27 billion. During the same quarter last year, the business posted $1.05 EPS. The company’s revenue for the quarter was up 105.9% on a year-over-year basis. As a group, research analysts anticipate that NVIDIA Corporation will post 9.12 EPS for the current fiscal year. NVIDIA announced that its board has initiated a stock buyback 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 repurchase up to 1.5% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s management believes its stock is undervalued.

NVIDIA Dividend Announcement The firm also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Thursday, September 10th will be given a $0.25 dividend. The ex-dividend date of this dividend is Thursday, September 10th. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. NVIDIA’s dividend payout ratio (DPR) is 12.64%.

NVIDIA News Summary Here are the key news stories impacting NVIDIA this week:

Positive Sentiment: CEO Jensen Huang publicly rejected the idea of an AI slowdown and told President Donald Trump that NVIDIA would not allow one to happen. Trump also criticized opposition to new data centers, signaling continued political support for AI infrastructure investment. NVIDIA CEO Jensen Huang tells Trump about AI slowdown Positive Sentiment: NVIDIA’s underlying demand story remains strong: recent earnings showed revenue growth of more than 100%, while management has indicated that supply—not customer demand—is limiting expansion. Analysts continue to view NVIDIA favorably relative to other AI infrastructure companies because of its faster growth, strong margins and lower leverage. NVIDIA versus Marvell AI infrastructure comparison Positive Sentiment: The company expanded its open-source CUDA-Q platform with CUDA-Q Logical, which connects GPUs with quantum processors and could generate longer-term demand for NVIDIA accelerated-computing and networking systems. Fermilab reportedly reduced a fault-tolerant design cycle from five months to three weeks using the platform. NVIDIA expands CUDA-Q for quantum computing Neutral Sentiment: NVIDIA is reportedly considering a large investment in Anthropic and continues to pursue strategic investments across AI infrastructure. Such moves could strengthen ecosystem demand, but the Anthropic investment has not been presented as a finalized transaction. NVIDIA investment discussions involving Anthropic Negative Sentiment: Anthropic, OpenAI and other AI executives have called for a more measured pace of frontier-model development. Investors interpreted those comments as a potential threat to hyperscaler capital spending, GPU demand and the pace of data-center expansion, pressuring NVDA and peer chip stocks. NVIDIA stock and AI slowdown concerns Negative Sentiment: Management expects higher memory costs to weigh on gross margins, while NVIDIA’s reliance on a relatively small number of major customers creates concentration risk. These concerns make the stock vulnerable to profit-taking when AI spending expectations soften. Insider Activity In related news, Director Mark A. Stevens sold 622,239 shares of the company’s stock in a transaction dated Friday, September 4th. The stock was sold at an average price of $231.62, for a total transaction of $144,122,997.18. Following the sale, the director owned 2,336,531 shares in the company, valued at approximately $541,187,310.22. This represents a 21.03% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, EVP Timothy S. Teter sold 30,000 shares of the stock in a transaction that occurred on Monday, August 31st. The shares were sold at an average price of $217.88, for a total value of $6,536,400.00. Following the transaction, the executive vice president directly owned 2,687,660 shares of the company’s stock, valued at $585,587,360.80. This trade represents a 1.10% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 2,585,740 shares of company stock worth $571,015,527 over the last three months. Insiders own 3.94% of the company’s stock.

Wall Street Analyst Weigh In Several brokerages recently weighed in on NVDA. KGI Securities increased their price objective on shares of NVIDIA from $335.00 to $345.00 in a report on Thursday, August 27th. Phillip Securities raised their price target on NVIDIA from $285.00 to $300.00 and gave the stock a “buy” rating in a research report on Monday, August 31st. BMO Capital Markets set a $340.00 price objective on NVIDIA and gave the company an “outperform” rating in a report on Thursday, August 20th. Piper Sandler initiated coverage on NVIDIA in a research report on Wednesday, September 9th. They set an “overweight” rating and a $300.00 target price for the company. Finally, Robert W. Baird set a $500.00 target price on shares of NVIDIA and gave the stock an “outperform” rating in a report on Thursday, May 21st. Three equities research analysts have rated the stock with a Strong Buy rating, fifty have issued a Buy rating and two have assigned a Hold rating to the company’s stock. According to MarketBeat.com, NVIDIA currently has a consensus rating of “Buy” and an average price target of $324.34.

View Our Latest Stock Report on NVIDIA

About NVIDIA (Free Report)

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processors and related software. Its products are used for artificial intelligence, machine learning, high-performance computing, computer graphics, data-center applications and other workloads that benefit from parallel processing.

The company’s offerings include GeForce graphics processing units (GPUs) and software for gaming and personal computers; data-center GPUs, systems and networking products; and professional visualization solutions for design, engineering, media and scientific applications.

Featured Stories Five stocks we like better than NVIDIA Analysts Are Punting Their Calls Into the Next Quarter After Adobe’s Mixed Earnings Institutional Money Is Pouring Into These 2 Altcoin ETFs The End of Big Tech Buybacks? Only One Hyperscaler Is Still Repurchasing Shares 3 Dividend Kings to Buy While They’re Still Beaten Down 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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Nvidia sits at the center of the AI infrastructure boom, but a five-year hold on a modest stake could end up anywhere from a modest gain to a life-changing return depending on which forces win out.

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NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) sits at the center of every serious AI infrastructure conversation, and a five-year hold naturally raises the question of what a modest stake could compound into.

With shares changing hands at $218.29 and the modeled five-year path anchored to a base target of $532.58, a $5,000 investment made today has a defined range of outcomes worth walking through. Treat the figures as a modeled projection for research purposes only.

Base Case: What $5,000 Could Become by 2031 Lead with the number that matters. Under the base case, a $5,000 stake in NVDA could be worth about $12,199 by 2031-09-12, a total return of 143.98% over the window.

That figure is anchored to a per-share target of $532.58, implying an annualized return of 19.53%. The model rates confidence on the setup at 0.9, with a buy recommendation reflecting 37.4% upside to the one-year base target.

Five-Year Scenario Table for a $5,000 Stake Scenario Target Price (2031) Total Return Ending Value of $5,000 Bull $616.10 182.24% $14,112 Base $532.58 143.98% $12,199 Bear $331.80 52% $7,600 For context on the Street’s near-term view, the analyst consensus target is $327.65, drawn from 9 Strong Buy, 48 Buy, 2 Hold and 1 Sell ratings. Analyst bullish sentiment sits at 95 versus bearish sentiment of 2.

Why the Targets Land Where They Do The base target reflects a weighted blend of trailing P/E, forward P/E and the analyst consensus, adjusted by a proprietary 247Factor that layers in sector momentum, earnings acceleration and social sentiment. Forward EPS in the model is $10.05, with an implied forward multiple of roughly 31.

The fundamental backdrop is unusually strong for a company this size. Q2 FY27 revenue came in at $96.22B, up 105.8% YoY, and Data Center revenue reached $89.02B, up 117% YoY.

Q3 revenue is guided to $108B ±2%, and management expects revenue to grow by approximately 70% in fiscal 2028, characterizing the outlook as “a supply-constrained outlook.”

Three drivers reinforce the multi-year setup:

Vera Rubin economics. The revenue opportunity per gigawatt has scaled from $18 billion with Hopper to $25 billion with Blackwell to $40 billion with Vera Rubin, which management expects to be the fastest product ramp in company history. Hyperscaler capex trajectory. Top-five hyperscaler capex is expected to reach nearly $800 billion in 2026 and $1.3 trillion in 2027, against a cloud-industry backlog described as greater than $2 trillion. Ecosystem financing flywheel. Partnerships with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs and KKR are expected to mobilize over $500B for AI infrastructure, alongside OpenAI’s roughly 12 gigawatts of NVIDIA compute committed through 2030. CEO Jensen Huang framed the moment plainly on the last earnings call: “AI has reached its inflection point. It’s doing useful work. Its tokens are productive and profitable. Now, compute is revenue.”

The buildout also lifts a wider set of suppliers, from power to cooling to networking, that sit alongside the GPU maker itself (we profiled seven of them in a free report you can grab here).

What Could Sink the Projection The bear path to $331.80 assumes a materially slower AI capex cycle. Real risks include export-control overhang (management stated “there is no China data center compute revenue in our forward outlook”), dependence on TSMC and third parties for packaging, and $279B in supply commitments plus $108.5B in guarantee obligations that could bite if AI demand cools.

Custom silicon from cloud customers, extreme memory pricing (Q4 gross margin is guided to bottom in the 71% to 72% range) and NVDA’s beta of 2.217 all argue for a wide outcome band.

Historical results are not predictive either way: NVDA is up 875.38% over the trailing five years, and repeating that would require a very different starting valuation.

Bottom Line on the $5,000 Question Anchored to the modeled five-year horizon ending 2031-09-12, a $5,000 NVDA stake sits within a projected range of roughly $7,600 in the bear case to $14,112 in the bull case, with a base outcome near $12,199.

Those numbers rest on continued AI infrastructure buildout, successful Vera Rubin execution and a supply chain that can catch up to demand. Treat this as a scenario framework with no guaranteed outcome; the wide gap between the bull and bear paths reflects how much still depends on the next few product cycles.

Contact [email protected] for any questions or corrections.

Nvidia shares just dropped over 8% in a week while AI slowdown headlines pile up, and that is exactly when one investor keeps hitting the buy button with more conviction than ever.

I keep hitting the buy button on NVIDIA (NASDAQ:NVDA | NVDA Price Prediction), and after the pullback this month I hit it again. Shares are down 8.32% in a week while headlines warn about an AI slowdown, and that is exactly when I want to add to the one company sitting at the center of every serious AI build being planned through 2030.

The thesis reduces to one line from the CEO. “AI has reached its inflection point. It’s doing useful work. Its tokens are productive and profitable. Now, compute is revenue.” Every hyperscaler capex plan, every sovereign AI factory, every frontier lab funding round eventually turns into GPU orders, and one architecture stack keeps absorbing the demand.

Numbers That Keep Me Buying Q2 FY2027 revenue printed at $96.22B, up 105.8% YoY, with non-GAAP EPS of 2.22, the fifth straight quarter beating consensus. Data Center alone did $89.02B, up 117% YoY, and Data Center Networking grew 138%. Non-GAAP gross margin came in at 75.0%. Operating margin ran 60.4%. ROE sits at 101.5%. I have never found another company at this scale producing those three margin numbers in the same quarter.

Then the guide. Management called for $108.0B in Q3 revenue and told the street to expect fiscal 2028 growth of approximately 70%, describing it as a supply-constrained outlook. Analyst EPS for FY2028 has moved to 15.5675 from 12.6718 90 days ago, with 39 upward revisions in the trailing week and zero cuts. Estimates are chasing the business.

The balance sheet lets me sleep. Debt to equity is 0.073. Interest coverage is 503x. Free cash flow ran $21.34B in the quarter, and the company returned $26.0B to shareholders in Q2 through buybacks and the $0.25 quarterly dividend, with $99.0B still authorized. That is how a compounder behaves.

Why Not AMD or Broadcom Advanced Micro Devices (NASDAQ:AMD) builds real GPUs, and Broadcom (NASDAQ:AVGO) is a strong cash generator on custom silicon and networking. I respect both. My money keeps flowing to NVIDIA because I want the platform that is absorbing the orders. NVIDIA is running a 75.0% non-GAAP gross margin and 60.4% operating margin on almost $100B in quarterly revenue, generating 92.2% ROIC. Vera Rubin already has purchase orders from every major hyperscaler, AI cloud, and system OEM, and the CPU line alone is expected to more than double in fiscal 28. That is a lock I want to own.

Risk I Take Seriously Circular financing. NVIDIA is guaranteeing $108.5B for AI cloud partners, sitting on $279B in supply obligations, and has invested nearly 50 billion in frontier AI labs that then buy its chips. If AI monetization stalls, that chain wobbles. I read the AI apocalypse coverage this morning. My conviction holds because hyperscaler capex is tracking 1.3 trillion in 2027, cloud backlog is greater than 2 trillion, and management says the compute is fungible and redeployable. Only outright demand destruction breaks this thesis, and I do not see it in the data.

What Keeps the Buy Button Live A trailing P/E near 42 and a forward P/E of 24 on a business growing revenue past 100% YoY, with 75% gross margins and a supply-capped 70% FY2028 outlook, looks like a bargain to me. I will keep buying every week the market gives me a reason to.

Contact [email protected] for any questions or corrections.

New Harbor Financial Group LLC increased its holdings in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 162.0% in the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 7,916 shares of the computer hardware maker’s stock after acquiring an additional 4,895 shares during the quarter. NVIDIA comprises approximately 0.3% of New Harbor Financial Group LLC’s portfolio, making the stock its 16th biggest position. New Harbor Financial Group LLC’s holdings in NVIDIA were worth $1,584,000 as of its most recent SEC filing.

Several other large investors have also added to or reduced their stakes in NVDA. Defender Capital LLC. boosted its stake in shares of NVIDIA by 0.7% during the 2nd quarter. Defender Capital LLC. now owns 7,534 shares of the computer hardware maker’s stock valued at $1,507,000 after purchasing an additional 50 shares in the last quarter. Kooman & Associates raised its stake in NVIDIA by 0.6% in the second quarter. Kooman & Associates now owns 8,464 shares of the computer hardware maker’s stock worth $1,694,000 after buying an additional 50 shares in the last quarter. Spectrum Financial Alliance Ltd LLC lifted its holdings in 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 worth $243,000 after buying an additional 51 shares during the period. PFS Partners LLC lifted its holdings in NVIDIA by 1.2% in the second quarter. PFS Partners LLC now owns 4,375 shares of the computer hardware maker’s stock worth $875,000 after buying an additional 51 shares during the period. Finally, LMG Wealth Partners LLC boosted its position in NVIDIA by 0.7% during the 4th quarter. LMG Wealth Partners LLC now owns 7,649 shares of the computer hardware maker’s stock valued at $1,427,000 after acquiring an additional 53 shares in the last quarter. Institutional investors own 65.27% of the company’s stock.

Insider Transactions at NVIDIA In related news, Director Mark Stevens sold 885,000 shares of the 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 sale, the director directly 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 sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, EVP Timothy Teter sold 30,000 shares of the firm’s stock in a transaction dated Monday, August 31st. The shares were sold at an average price of $217.88, for a total transaction of $6,536,400.00. Following the sale, the executive vice president owned 2,687,660 shares of the company’s stock, valued at approximately $585,587,360.80. This represents a 1.10% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 2,585,740 shares of company stock worth $571,015,527. 3.94% of the stock is currently owned by company insiders.

Wall Street Analyst Weigh In Several research analysts have recently issued reports on NVDA shares. Citic Securities increased their target price on NVIDIA from $242.00 to $315.00 and gave the stock a “buy” rating in a research report on Friday, May 22nd. New Street Research dropped their price target on NVIDIA from $343.00 to $340.00 in a research report on Thursday, May 21st. Cantor Fitzgerald reaffirmed an “overweight” rating and issued a $350.00 price target on shares of NVIDIA in a research note on Monday, August 24th. Deutsche Bank Aktiengesellschaft reissued a “buy” rating on shares of NVIDIA in a research report on Monday, August 31st. Finally, Mizuho set a $315.00 target price on shares of NVIDIA and gave the company an “outperform” rating in a report on Thursday, August 27th. Three investment analysts have rated the stock with a Strong Buy rating, fifty have assigned a Buy rating and two have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Buy” and an average price target of $324.34. Get Our Latest Report on NVIDIA

NVIDIA News Summary Here are the key news stories impacting NVIDIA this week:

Positive Sentiment: CEO Jensen Huang publicly rejected the idea of an AI slowdown and told President Donald Trump that NVIDIA would not allow one to happen. Trump also criticized opposition to new data centers, signaling continued political support for AI infrastructure investment. NVIDIA CEO Jensen Huang tells Trump about AI slowdown Positive Sentiment: NVIDIA’s underlying demand story remains strong: recent earnings showed revenue growth of more than 100%, while management has indicated that supply—not customer demand—is limiting expansion. Analysts continue to view NVIDIA favorably relative to other AI infrastructure companies because of its faster growth, strong margins and lower leverage. NVIDIA versus Marvell AI infrastructure comparison Positive Sentiment: The company expanded its open-source CUDA-Q platform with CUDA-Q Logical, which connects GPUs with quantum processors and could generate longer-term demand for NVIDIA accelerated-computing and networking systems. Fermilab reportedly reduced a fault-tolerant design cycle from five months to three weeks using the platform. NVIDIA expands CUDA-Q for quantum computing Neutral Sentiment: NVIDIA is reportedly considering a large investment in Anthropic and continues to pursue strategic investments across AI infrastructure. Such moves could strengthen ecosystem demand, but the Anthropic investment has not been presented as a finalized transaction. NVIDIA investment discussions involving Anthropic Negative Sentiment: Anthropic, OpenAI and other AI executives have called for a more measured pace of frontier-model development. Investors interpreted those comments as a potential threat to hyperscaler capital spending, GPU demand and the pace of data-center expansion, pressuring NVDA and peer chip stocks. NVIDIA stock and AI slowdown concerns Negative Sentiment: Management expects higher memory costs to weigh on gross margins, while NVIDIA’s reliance on a relatively small number of major customers creates concentration risk. These concerns make the stock vulnerable to profit-taking when AI spending expectations soften. NVIDIA Stock Down 3.4% NVDA stock opened at $210.96 on Tuesday. The business has a 50 day moving average of $213.60 and a 200 day moving average of $203.54. The firm has a market cap of $5.08 trillion, a PE ratio of 26.67, a price-to-earnings-growth ratio of 1.71 and a beta of 2.22. NVIDIA Corporation has a twelve month low of $164.27 and a twelve month high of $236.54. The company has a quick ratio of 3.85, a current ratio of 4.59 and a debt-to-equity ratio of 0.14.

NVIDIA (NASDAQ:NVDA – Get Free Report) last released its earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, topping the consensus estimate of $2.09 by $0.13. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%.The business had revenue of $96.22 billion for the quarter, compared to the consensus estimate of $92.27 billion. During the same period in the previous year, the company posted $1.05 earnings per share. The company’s revenue for the quarter was up 105.9% compared to the same quarter last year. On average, research analysts forecast that NVIDIA Corporation will post 9.12 EPS for the current fiscal year.

NVIDIA declared that its Board of Directors has authorized a share repurchase program on Wednesday, May 20th that permits the company to repurchase $80.00 billion in shares. This repurchase authorization permits the computer hardware maker to repurchase up to 1.5% of its stock through open market purchases. Stock repurchase programs are often an indication that the company’s leadership believes its shares are undervalued.

NVIDIA Announces Dividend The company also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Thursday, September 10th will be paid a $0.25 dividend. The ex-dividend date is Thursday, September 10th. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. NVIDIA’s payout ratio is presently 12.64%.

NVIDIA Company Profile (Free Report)

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processors and related software. Its products are used for artificial intelligence, machine learning, high-performance computing, computer graphics, data-center applications and other workloads that benefit from parallel processing.

The company’s offerings include GeForce graphics processing units (GPUs) and software for gaming and personal computers; data-center GPUs, systems and networking products; and professional visualization solutions for design, engineering, media and scientific applications.

Featured Articles Five stocks we like better than NVIDIA Analysts Are Punting Their Calls Into the Next Quarter After Adobe’s Mixed Earnings Institutional Money Is Pouring Into These 2 Altcoin ETFs The End of Big Tech Buybacks? Only One Hyperscaler Is Still Repurchasing Shares 3 Dividend Kings to Buy While They’re Still Beaten Down

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.

J. M. Brown & Associates Inc. bought a new stake in NVIDIA Corporation (NASDAQ:NVDA – Free Report) during the second quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund bought 22,757 shares of the computer hardware maker’s stock, valued at approximately $4,554,000. NVIDIA accounts for 2.6% of J. M. Brown & Associates Inc.’s investment portfolio, making the stock its 13th biggest position.

Several other large investors have also modified their holdings of NVDA. J. Stern & Co. LLP increased its position 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 worth $23,454,297,000 after purchasing an additional 124,849,603 shares during the last quarter. PFA Pension Forsikringsaktieselskab acquired a new position in NVIDIA in the fourth quarter valued at about $2,635,969,000. Amundi lifted its position in NVIDIA by 10.4% in the first quarter. Amundi now owns 133,768,018 shares of the computer hardware maker’s stock valued at $23,329,141,000 after buying an additional 12,575,177 shares during the last quarter. SEB Asset Management AB purchased a new position in NVIDIA during the first quarter worth about $1,692,807,000. Finally, Employees Provident Fund Board purchased a new position in NVIDIA during the fourth quarter worth about $1,243,336,000. Institutional investors and hedge funds own 65.27% of the company’s stock.

NVIDIA Trading Down 3.4% NASDAQ:NVDA opened at $210.96 on Tuesday. The firm has a market cap of $5.08 trillion, a PE ratio of 26.67, a price-to-earnings-growth ratio of 1.71 and a beta of 2.22. The stock has a fifty day moving average price of $213.60 and a 200 day moving average price of $203.54. NVIDIA Corporation has a 12-month low of $164.27 and a 12-month high of $236.54. The company has a current ratio of 4.59, a quick ratio of 3.85 and a debt-to-equity ratio of 0.14.

NVIDIA (NASDAQ:NVDA – Get Free Report) last released its earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, topping the consensus estimate of $2.09 by $0.13. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%.The firm had revenue of $96.22 billion during the quarter, compared to analysts’ expectations of $92.27 billion. During the same period in the previous year, the firm posted $1.05 EPS. NVIDIA’s revenue for the quarter was up 105.9% on a year-over-year basis. Sell-side analysts anticipate that NVIDIA Corporation will post 9.12 earnings per share for the current fiscal year. NVIDIA Dividend Announcement The business also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th will be given a dividend of $0.25 per share. The ex-dividend date of this dividend is Thursday, September 10th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.5%. NVIDIA’s payout ratio is currently 12.64%.

NVIDIA announced that its board has initiated a stock buyback program on Wednesday, May 20th that permits the company to buyback $80.00 billion in shares. This buyback authorization permits the computer hardware maker to repurchase up to 1.5% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s management believes its shares are undervalued.

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

Positive Sentiment: CEO Jensen Huang publicly rejected the idea of an AI slowdown and told President Donald Trump that NVIDIA would not allow one to happen. Trump also criticized opposition to new data centers, signaling continued political support for AI infrastructure investment. NVIDIA CEO Jensen Huang tells Trump about AI slowdown Positive Sentiment: NVIDIA’s underlying demand story remains strong: recent earnings showed revenue growth of more than 100%, while management has indicated that supply—not customer demand—is limiting expansion. Analysts continue to view NVIDIA favorably relative to other AI infrastructure companies because of its faster growth, strong margins and lower leverage. NVIDIA versus Marvell AI infrastructure comparison Positive Sentiment: The company expanded its open-source CUDA-Q platform with CUDA-Q Logical, which connects GPUs with quantum processors and could generate longer-term demand for NVIDIA accelerated-computing and networking systems. Fermilab reportedly reduced a fault-tolerant design cycle from five months to three weeks using the platform. NVIDIA expands CUDA-Q for quantum computing Neutral Sentiment: NVIDIA is reportedly considering a large investment in Anthropic and continues to pursue strategic investments across AI infrastructure. Such moves could strengthen ecosystem demand, but the Anthropic investment has not been presented as a finalized transaction. NVIDIA investment discussions involving Anthropic Negative Sentiment: Anthropic, OpenAI and other AI executives have called for a more measured pace of frontier-model development. Investors interpreted those comments as a potential threat to hyperscaler capital spending, GPU demand and the pace of data-center expansion, pressuring NVDA and peer chip stocks. NVIDIA stock and AI slowdown concerns Negative Sentiment: Management expects higher memory costs to weigh on gross margins, while NVIDIA’s reliance on a relatively small number of major customers creates concentration risk. These concerns make the stock vulnerable to profit-taking when AI spending expectations soften. Wall Street Analysts Forecast Growth A number of research firms have recently issued reports on NVDA. Oppenheimer set a $315.00 price target on shares of NVIDIA and gave the company an “outperform” rating in a research note on Thursday, August 27th. Citigroup reaffirmed a “buy” rating and set a $315.00 price objective (up from $300.00) on shares of NVIDIA in a research report on Thursday, August 27th. Cantor Fitzgerald reiterated an “overweight” rating and issued a $350.00 target price on shares of NVIDIA in a report on Monday, August 24th. Rothschild & Co Redburn boosted their target price on NVIDIA from $300.00 to $325.00 in a research report on Thursday, August 27th. Finally, Bank of America restated a “buy” rating and set a $350.00 price target (up from $320.00) on shares of NVIDIA in a research note on Thursday, May 21st. Three analysts have rated the stock with a Strong Buy rating, fifty have given a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Buy” and an average price target of $324.34.

Get Our Latest Research Report on NVIDIA

Insider Transactions at NVIDIA In related news, EVP Timothy S. Teter sold 30,000 shares of NVIDIA stock in a transaction that occurred on Monday, August 31st. The shares were sold at an average price of $217.88, for a total value of $6,536,400.00. Following the completion of the transaction, the executive vice president owned 2,687,660 shares in the company, valued at $585,587,360.80. The trade was a 1.10% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 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 stock was sold at an average price of $210.17, for a total transaction of $186,000,450.00. Following the transaction, the director owned 5,207,271 shares of the company’s stock, valued at $1,094,412,146.07. This trade represents a 14.53% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 2,585,740 shares of company stock valued at $571,015,527. Corporate insiders own 3.94% of the company’s stock.

NVIDIA Profile (Free Report)

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processors and related software. Its products are used for artificial intelligence, machine learning, high-performance computing, computer graphics, data-center applications and other workloads that benefit from parallel processing.

The company’s offerings include GeForce graphics processing units (GPUs) and software for gaming and personal computers; data-center GPUs, systems and networking products; and professional visualization solutions for design, engineering, media and scientific applications.

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Nvidia (NVDA -3.36%) absolutely dominates the market for advanced graphics processing units (GPUs) used for artificial intelligence (AI) applications. When it comes to the ultra-computationally intensive processing required to train AI models, the company is often projected to command more than 90% of the market.

Even for less computationally intensive inference applications used to run AI software, estimates of the company's market share in the category often range between 60% and 75%. Notably, Nvidia hasn't had much to offer when it comes to central processing units (CPUs) used to run some AI inference applications, and it's only just starting to compete in the broader server CPU market that is currently dominated by Intel (INTC -5.59%) and Advanced Micro Devices (AMD -4.40%). On the other hand, Nvidia looks poised to make big inroads in the server CPU market -- and it could pose significant challenges for the current category leaders.

Image source: Getty Images.

Nvidia could be poised to upend the CPU market Due to GPUs' greater role in AI and data-center processing, and stronger margins in the category, Nvidia has been largely content to ignore the CPU market over the last decade. That's changing rapidly, however. More AI processing is being shifted to CPUs, while growth in the total number of operational and trained applications has increased the company's incentives to become a top player in the category.

The AI hardware leader is making moves to become a more diversified provider of compute technologies and services, and it looks poised for a rapid expansion in the server CPU market. In its fiscal Q2 2027 report, Nvidia revealed that its Grace family of CPUs had already generated $5 billion in sales over the trailing 12-month period, and that's almost certainly just the beginning of the company's scaling in the category.

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Nvidia projects that its data center CPU revenue will more than double from this fiscal year to the next fiscal year, with the rollout of its next-generation family of processors playing a huge role in the growth. Along with its top-of-the-line Vera Rubin GPUs, the company is rolling out its Vera family of CPUs.

Nvidia has entered full production of its Vera CPUs, and it stands to see strong growth in the processing category as it pairs the hardware with its Vera Rubin GPUs and sells the tech as a stand-alone product. With its control of the high-end GPU market, the company has the advantage of delivering CPUs that are optimized for integrated performance.

Along those lines, Nvidia says its Vera hardware delivers performance and efficiency that significantly exceed those of any other data center CPU in key areas. These strengths could allow it to quickly win market share from Intel and AMD.

Keith Noonan has positions in Intel. The Motley Fool has positions in and recommends Advanced Micro Devices, Intel, and Nvidia. The Motley Fool has a disclosure policy.

Nvidia CEO Jensen Huang took a live phone call from Donald Trump during a panel discussion Monday, allowing the US president to dismiss artificial intelligence dangers as a “hoax.” During the call, which Huang received on stage at the All-In Summit in Los Angeles, Trump criticized the push to slow the pace of AI development as politically motivated or a Chinese scheme.

A large portion of Tesla's valuation is driven by the upcoming Optimus humanoid robots. The company is already behind in the cybercab race, with Alphabet's (GOOG +3.06%) (NASDAQ: GOOGL) Waymo leading the way, and the humanoid robot segment hit another roadblock.

JPMorgan Chase anticipates commercialization in the second half of 2027. Musk hinted at the production of Optimus 3 starting in summer 2026, but no news has emerged.

Tesla doesn't have the leverage of a small start-up that can quickly gobble up market share and multiply its value. The company also has a lofty valuation, which complicates its risk profile. Investors looking for lower-risk artificial intelligence (AI) robotics stocks may want to consider these three options.

Image source: Getty Images.

1. Nvidia For Nvidia (NVDA -3.36%), it doesn't matter which robotics companies come out on top. They all will need Nvidia's chips in their machines to process users' requests.

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It's also not like Nvidia is waiting on robots to become mainstream. The AI chipmaker is the largest company worldwide, with a market cap above $5 trillion. This scale came about thanks to Nvidia's critical role in the current AI build-out.

A 106% year-over-year revenue growth rate in the company's fiscal 2027 second quarter is a testament to its commanding market position. Nvidia also achieves those growth rates while boosting its profits. The chipmaker wrapped up the quarter with a 62% net profit margin.

Nvidia also trades at a generous 0.46 PEG ratio, while Tesla has a much higher 4.37 PEG ratio. The valuation is good today, and Nvidia's upcoming tailwinds are more certain than Tesla's.

2. Alphabet Alphabet is in a similar position to Nvidia. Although AI chips aren't Alphabet's claim to fame, its custom AI chips business is gaining momentum. However, the key pieces of Alphabet in robotics are Google Cloud and Waymo.

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AI robots need cloud platforms for training and high-intensity tasks. Google Cloud is one of the three largest cloud computing options, and its revenue continues to surge. Cloud revenue was up by 82% year over year in the second quarter. As robots become mainstream, Google Cloud revenue should continue to accelerate, but Alphabet isn't waiting around for the AI robotics industry to materialize before offering compelling value.

Alphabet trades at a PEG ratio of 1.20, which is much lower than Tesla's. Google Ads and cloud computing are the main catalysts, but Alphabet has a robotics segment of its own. Waymo's autonomous vehicles are gaining momentum in several cities and could redefine transportation before competitors catch up.

3. Zebra Technologies Zebra Technologies (ZBRA +0.41%) is the smallest company of the bunch with a $17 billion market cap, but its 44% year-to-date return is higher than Nvidia's and Alphabet's returns over that stretch.

Its data capture technology and software help robots interact with the world and perform tasks effectively. Zebra Technologies doesn't make robots, but its technology serves as the intelligence for these machines.

The company works with businesses in retail, manufacturing, transportation, logistics, healthcare, and other industries. These connections can become more valuable as humanoid robots scale.

This market positioning has already translated into strong fundamentals. Zebra Technologies delivered 20.4% year-over-year revenue growth in the second quarter, with CEO Bill Burns calling the company "the foundation for intelligent operations and frontline AI."

Net income also more than doubled year over year, strengthening Zebra Technologies' balance sheet in the process. The growth stock trades at a 0.59 PEG ratio and has a 16 forward price-to-earnings (P/E) ratio. Zebra Technologies is a relatively hidden pick in the robotics industry that offers a greater margin of safety than Tesla. It's also delivering impressive growth rates right now, while Tesla investors are waiting for the day that humanoid robots become commercialized.

After using his social media site to blast Anthropic CEO Dario Amodei's push for the AI industry to slow down development, President Donald Trump went a step further on Monday.

With Nvidia CEO Jensen Huang speaking on stage at the All-in Summit in Los Angeles, Trump called the tech exec, and was then put on speaker.

"I'm telling you, it's all a hoax," Trump said, according to a video posted on social media by an attendee. "The data centers are great, and they make people wealthy, and they make states wealthy."

President Trump has inserted himself into the raging debate about artificial intelligence and whether the model developers, principally Anthropic and OpenAI, are rapidly building technology that threatens to destroy humanity. Over the weekend, Amodei published an essay arguing for the intentional slowing of the pace of model development, garnering support from OpenAI CEO Sam Altman and SpaceX's Elon Musk.

Opposition to data center development and concerns about AI have been conflated into the same discussion as people increasingly worry that the technology is taking their jobs.

Trump published numerous posts on Truth Social, including one where he said those concerned about AI and data centers are "Revolutionaries for a Bad and Evil Cause." In another post, Trump said he didn't see any need for additional AI regulation, and called the recent AI concerns a "hoax" and "a scam." He wrote that calls to slow down building are only happening because the U.S. is leading other countries in its pace of construction.

After Huang put Trump on speakerphone on Monday, the president said data centers are the "oil of the next 20, 25 years."

He also joked that Huang, CEO of the world's most valuable company, "can develop the most complex computer chip that nobody can copy, but he can't figure out how to put me on speaker."

Trump praised the construction of AI data centers, which are being filled with Nvidia's graphics processing units. While Huang and Trump have appeared together in public several times during the president's second term, Monday's phone call further highlights their tightening bond and the centrality of AI to the U.S. economy, even as other policymakers urge regulation.

"I'm with you all the way," Trump told Huang.

Those opposing data center construction are "playing right into the hands of a lot of people that don't want to see it happen," Trump said, adding that it could be coming from China.

"We're not going to let that happen," Trump said.

"You're right," Huang replied. "We're not going to let that happen, sir."

Chamath Palihapitiya, one of the co-hosts of the summit, posted on X after the session in reference to one of the videos of it, "This was surreal."

An Nvidia representative didn't respond to a request for comment.

Samsung has backed a Dutch AI chipmaker in a $231 million funding round, amid a boom in investment in alternatives to Nvidia's graphic processing units.

Euclyd CEO Bernardo Kastrup told CNBC exclusively that the company's 200-million-euro Series A drew backing from Somerset Capital Partners, the Scaleup Europe Fund managed by EQT and Innovation Industries, which all co-led the round alongside Samsung.

The startup, founded in 2024, is designing an AI chip system, with different architecture to GPUs, for inference, including the processor and memory architecture.

Nvidia became the world's most valuable company after its GPUs, originally designed for gaming, were repurposed for training and using AI models, known as inference.

The company has developed a near monopoly over the market for the highest-end chips, but some hyperscalers, alongside startups, are looking to develop their own processors for AI workloads.

OpenAI announced in August that its first AI chip, the Jalapeño, had "industry-leading speed and efficiency." Google, AWS and Meta are all also developing their own AI chips.

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"AI is becoming a foundation of economic growth, scientific discovery and national competitiveness, but its potential will remain constrained unless we fundamentally change the infrastructure beneath it," said Kastrup.

Euclyd's systems have yet to be proven at scale in commercial deployments.

But the company said its silicon systems for foundational models will reduce the energy needs and costs of AI data center infrastructure, which is seeing a funding boom.

The company is targeting two revenue streams: selling hardware and physical rack systems to enterprise customers who want secure self-hosted AI inference, and selling its intellectual property to companies that want to develop their own chips based on pre-existing tech.

"Samsung can help us in more ways than money," said Kastrup. "They are one of the biggest memory manufacturers in the world. They do a lot of engineering, they know a lot about systems, they know the supply chain, they have a huge network."

Euclyd aims to begin rolling out its physical chip systems in 2028, with thousands of enterprise customers being served by 2030, Kastrup told CNBC.

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President Donald Trump and Nvidia CEO Jensen Huang. Andrew Harnik/Getty Images Nvidia CEO Jensen Huang got a call from President Donald Trump in the middle of his interview to swat down AI doomer predictions.

On Monday at the All-In Summit in Los Angeles, Huang's talk was interrupted by a phone call from President Donald Trump, who called AI doomerism "a hoax."

"The robots will not be taking over," Trump said via speakerphone, adding that while "we have to be a little bit careful," the US shouldn't stop AI advancement.

The debate on AI safety has roiled Silicon Valley, especially after Jacob Coxon, a former Anthropic researcher, announced last week he resigned from the lab, writing on X that the people building AI "believe that it could kill us all by the end of the decade."

During the talk, Huang praised a former Anthropic researcher for speaking out on AI safety and also said the notion that the technology poses an existential threat is unscientific.

Weighing in, Huang called AI safety "paramount" and said that the US can still move fast.

"America is able to lead — and to do it safely," he said.

Huang said Coxon showed "great courage" by coming forward. He also said there's a difference between exposing existing problems within a company and making predictions about the future.

"I think the whistleblowing is fine. I think the scientific prediction about the future is less fine because it's not grounded on science, obviously," Huang said.

Huang said he doesn't know what Coxon witnessed inside Anthropic and suggested the industry's frontier labs are undergoing a difficult transition from research to engineering organizations.

The Nvidia CEO's comments are consistent with his established views. He's previously pushed back on what he's called "science fiction" scenarios that scare people away from investing in technology that could make AI safer.

Trump also posted on Truth Social on Monday, saying that he was "breaking another Hoax — That AI is going to take over, consume, and destroy the World."

Nvidia did not immediately respond to a request for comment from Business Insider.

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Geoff Weiss is a senior reporter on Business Insider’s tech team, where he covers Nvidia and AI infrastructure. His reporting focuses on the business of AI compute, emerging startups, and the people and strategies shaping the industry.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.

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Over the weekend, SpaceX (NASDAQ:SPCX) CEO Elon Musk posted on X that “I am highly confident that SpaceX will be launching Nvidia VR NLV72 AI computers in space next year,” reigniting a debate over whether orbital data centers are close to reality or still mostly a pitch deck.

SpaceX stock is moving. See the real-time SPCX price action here.  The HardwareThe claim refers to a space-adapted version of Nvidia Corp.‘s (NASDAQ:NVDA) Vera Rubin NVL72 rack, a system built around 36 Vera CPUs and 72 Rubin GPUs. 

Musk has called the design, dubbed the Starmind AI satellite, “a radical simplification of the normal NVL72 rack” and said SpaceX would deploy versions both on the ground and in orbit.

SpaceX’s own investor materials tell a more cautious story. Ahead of its record-setting June initial public offering, executives Gwynne Shotwell and Bret Johnsen told prospective investors the company aims to launch initial orbital AI-computing demonstrations by late 2027, with its IPO filing citing “as early as 2028” for broader deployment. 

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Musk’s public “next year” framing sits well ahead of that internal roadmap, and Starship, the reusable rocket meant to carry this hardware affordably, “remains years behind” his original targets,according to Reuters. 

The PhysicsPhysics adds another obstacle. Space has no atmosphere, so conduction and convection are unavailable; heat can only be shed through radiators, and a rack pulling the power of dozens of Rubin GPUs generates far more waste heat than any system flown to date. 

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Rival Starcloud has flown a single Nvidia H100 chip and is still years from a multi-GPU deployment, underscoring how large a leap an orbital NVL72-class machine would represent.

The MarketMarkets have room for both patience and skepticism. Nvidia shares trade near $218 amid broader scrutiny of AI infrastructure spending, a backdrop that makes SpaceX’s orbital ambitions a live test of investor patience rather than an abstract engineering exercise.

Musk’s timelines have slipped before, on Starship test flights and Full Self-Driving alike. A working orbital NVL72 by next year would be a milestone; a demonstrator unit hitting orbit would already count as progress toward it.

SPCX Stock Price Activity: SpaceX stock was up 0.63% at $152.16 at the time of publication Monday, according to Benzinga Pro market data.

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Nvidia (NVDA -2.99%) continues to see extraordinary AI demand as Data Center growth accelerates, Blackwell Ultra ramps up, and Rubin enters production. But supply constraints, margin pressure, and rising capital commitments are making execution the crucial next test for the bullish thesis.

Stock prices used were the market prices of Aug. 28, 2026. The video was published on Sept. 12, 2026.

Rick Orford has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy. Rick Orford is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link, they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.

Three AI chief executives agreed on one thing over the weekend, and by Monday morning billions in market value had shifted away from chips and toward software. The rotation raises a question every investor in the sector now has to…

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Shares of Meta Platforms (NASDAQ:META | META Price Prediction) climbed 7.12% over the past week to $660.71, while Alphabet (NASDAQ:GOOGL) added 2.09% and Microsoft (NASDAQ:MSFT) held roughly flat at $499.83. NVIDIA (NASDAQ:NVDA) fell 8.38% over the same stretch to $210.82, and Amazon (NASDAQ:AMZN) slipped 1.74%. Prices are delayed intraday as of the morning of September 14, 2026, according to NBC News.

Weekend AI Warnings Trigger a Capex Chain Selloff The selling is concentrated in the AI buildout chain, the companies that profit from capital spending on data centers and chips. The buying sits with companies seen as less dependent on that spending continuing. Alphabet, Microsoft and Meta are on the second side. That is the whole story in one sentence.

The catalyst was narrow but loud. Anthropic CEO Dario Amodei wrote on Saturday that AI companies “must slow the pace at which we improve the capabilities of AI models”, published on September 12, 2026 per NBC News. Amodei cited the risk of losing control of AI systems, misuse for cyberattacks and bioterrorism, and serious economic disruption. OpenAI CEO Sam Altman replied on X, “I agree with Dario”, and Elon Musk posted “Dario is right” from xAI. Altman then narrowed the point, writing that “when we talk about ‘pacing’, we do not mean ‘stopping'” and that progress will continue. No company has announced any change to its development plans.

Separately, Altman told Fortune on Saturday that OpenAI will not go public this year, saying “given everything happening with safety, right now would be an ill-advised moment to go public”. Given the size of OpenAI’s eventual listing, the delay itself is market-relevant.

Selling Concentrated in Chips and Suppliers, Buying in Software The capex chain took the brunt. NBC News reported that in early Monday trading, Nvidia fell 3%, Corning fell 7.5%, and per NBC News, Arm Holdings, Marvell and CoreWeave each slid 6%, with Intel and Hewlett Packard down more than 5%. Overseas, NBC News noted ASML fell 9.5%, SoftBank Group dropped 10.7% in Tokyo, Samsung Electronics sold off 5%, and South Korea’s Kospi fell more than 3%, driven by AI memory names. The Invesco QQQ Trust (NASDAQ:QQQ) was down 1.23% intraday, according to NBC News.

The mirror image sits in enterprise software. NBC News reported that Workday, Adobe, Intuit and Autodesk each rose more than 2% premarket, after being pressured this year on fears AI would disrupt them. That is the cleanest signal of what the market is repricing.

The nuance matters in both directions. Meta’s strength is recent rather than annual. It is up 14.14% over the past month but only 0.27% year to date and -11.73% over one year, according to NBC News. Nvidia, despite this week’s decline, remains up 13.31% year to date and 19.28% over one year. Alphabet is up 44.12% across the past year, having reset higher after Q2 Google Cloud revenue accelerated to 82% growth. Microsoft is basically unchanged over one year at 0.59%.

The second driver is rates. NBC News reported market odds for a Federal Reserve rate hike on Wednesday at about 85% after hotter than expected core inflation on Friday, and the 10-year Treasury yield is at 4.95%, a multi-decade high on the daily series. These companies are borrowing heavily in public debt markets to fund data centers, so small rate moves translate into large financing costs. Alphabet alone raised roughly $70 billion in combined equity and debt to fund its AI buildout in Q2.

The slowdown thesis is not consensus. Deutsche Bank’s Jim Reid said moderation in the AI investment cycle “seems unlikely” for now, and that “it’s difficult to imagine firms voluntarily stepping back while rivals continue to push ahead”. HSBC’s Max Kettner called the fears for the tech sector “overblown in our view”. 24/7 Wall St. laid out the current trade in “Why Alphabet and Microsoft Suffer Less If AI CapEx Goes Wrong,” published August 18, 2026.

What Would Make the Rotation Stick Watch two things this week. The Federal Reserve decision on Wednesday will set the discount-rate backdrop for every name borrowing to build. Then watch whether any hyperscaler adjusts its capex plan, currently $130 to $145 billion at Meta and roughly $175 billion at Microsoft. A weekend essay and two X posts moved the market. A revised capex line would keep it moved.

Contact [email protected] for any questions or corrections.