Nvidia Record Breaking 10 Day Stock Rally: Nvidia Corp. is on a winning streak, with its shares soaring 2.1% to close at a record high on Tuesday, marking its 10th consecutive session of gains a feat matching its longest-ever streak of advances. The Santa Clara, California-based company’s recent rally, up by 22%, has added a staggering $219 billion in market value, all thanks to an update to its artificial intelligence processors. This boost comes at a time when competitors are scrambling to find alternatives to challenge Nvidia’s AI dominance.
In a year where the stock has rallied over 240%, making it the best-performing component on both the Nasdaq 100 and S&P 500 indexes, Nvidia continues to impress. The recent surge is part of a broader rebound in technology stocks, driven by optimism that Federal Reserve interest rates may have peaked.
Nvidia’s latest announcement revolves around its updated chip, the H200, which is set to utilize high-bandwidth memory, or HBM3e. This enhancement enables the chip to better handle the substantial data sets required for AI development and implementation. Analysts see this move as evidence of Nvidia accelerating its product cadence in response to the growing AI market and increasing performance demands, thereby solidifying its competitive position.
Wolfe Research analyst Chris Caso noted, NVDA has not refreshed prior datacenter GPUs in the past. So this represents further evidence of NVDA accelerating their product cadence in response to AI market growth and performance requirements, which further expands their competitive moat.
The current version of Nvidia’s AI accelerator is already in high demand, and the updated H200, expected to launch in mid-2024, is anticipated to be a top-performing GPU in the market.
Nvidia faced pressure last month due to new U.S. rules banning the sale of its cutting-edge AI chips to China. However, the company is set to report earnings on Nov. 21, and its recent positive strides suggest it’s navigating challenges effectively.
Also read: Baidu Chooses Huawei AI Chips Over Nvidia Amidst U.S. Pressure
Our Reader’s Queries
Why did NVIDIA stock jump?
Nvidia Corp. saw a surge in its shares on Monday following the launch of three new chips that are specifically designed to run artificial intelligence programs. This move is expected to further cement the company’s position as a dominant player in the AI era. The newly announced GeForce RTX 40 SUPER Series family of graphics processing units is set to take the market by storm.
Has NVIDIA ever done a stock split?
Nvidia has undergone five stock splits, with the most recent being a four-for-one split in July 2021. The announcement was made in May 2021, when shares were trading at approximately $560/share. The split has been a success for the company.
Is NVIDIA still a buy?
According to Nasdaq’s analysis of 38 expert opinions, NVDA stock remains a “strong buy.” The current price of $535 falls short of the average price target of $662. However, the high estimate of $1100 and low forecast of $560 per share both indicate potential for growth above the current price.
What is the 20 day moving average for NVDA stock?
Based on the 20-day moving average of 484.95, it appears that NVDA is a Buy.