Nvidia Share Price Hits $5.5 Trillion Before May 20 Results
Nvidia share price hit all-time highs as the company’s market capitalization reached $5.5 trillion ahead of its May 20 first-quarter report. Investors are now measuring whether AI demand can support a stock that has already climbed more than 21% year to date.
Jensen Huang Faces China Pressure
Jensen Huang said on April 30 that Nvidia had, you know, call it 90-some-odd percent of the world’s market share, and that in China the company has “dropped to zero.” The comments put a hard number on the loss of access in a market that had once been central to its growth.
On May 14, reported that the US will allow about 10 Chinese firms to buy Nvidia’s H200 chip. Nvidia has said the US government granted the company a license to ship its H200 processors to China, while China has not granted the company an import license. No H200 chips have been delivered in China so far, according to people familiar with the matter.
Street Expects $1.76 a Share
Wall Street is looking for earnings per share of $1.76 on revenue of $78.75 billion for the quarter, according to analyst consensus estimates. That would be a steep jump from the same period last year, when Nvidia reported earnings per share of $0.96 and revenue of $44.06 billion.
The move in the top line is being driven mainly by data center demand. Analysts project that business to bring in $72.85 billion, up from $39.11 billion a year earlier, with $60.53 billion expected from computing and $12.45 billion from networking. Nvidia’s gaming business is expected to generate $3.64 billion, down 3.26%.
Nvidia Stock Up 74%
The stock’s 74% gain over the past 12 months, alongside its more than 21% rise this year through May 13, shows how much optimism is already embedded before the results land. If the company matches the revenue pace now expected, the market will focus on whether the next leg of growth can come from data center shipments rather than a further rerating of the stock.
May 20 now becomes the test for whether Nvidia can keep justifying a $5.5 trillion valuation while China access remains constrained and the H200 rollout has yet to produce deliveries there. For shareholders, the report is less about the headline size of the quarter than about whether the company can keep its AI lead while one of its largest overseas markets stays partially closed.
