Nvidia Shares Surge as CEO Unveils $500B AI Order
Nvidia has recently experienced a significant surge in its stock price, increasing by nearly 5%. This rise contributes to the company’s market value approaching $5 trillion. This notable development stems from CEO Jensen Huang’s announcement of over $500 billion in secured orders for upcoming Blackwell and Rubin chips.
Nvidia’s GTC Conference Highlights
The announcement was made during Nvidia’s semi-annual GTC conference held in Washington, D.C. Huang emphasized the “exceptionally strong demand” for their next-generation AI processors. This demand signals robust growth potential and may exceed current market forecasts.
Market Reaction and Analyst Insights
The $500 billion order news drew considerable attention on Wall Street. Analysts express confidence that this figure could indicate stronger earnings prospects. Some of the key insights include:
- The Blackwell chip is expected to launch later this year.
- The Rubin chip is slated for release in 2026, furthering Nvidia’s AI and data center advancements.
Analyst Ratings and Stock Performance
Analyst sentiment around Nvidia remains highly optimistic. The stock is rated as a Strong Buy on TipRanks, supported by:
- 35 Buy ratings
- 1 Hold rating
- 1 Sell rating
The average price target for Nvidia stock stands at $225, reflecting nearly 12% upside potential from current trading levels. Year-to-date, Nvidia shares have gained almost 50%, showcasing the company’s robust market performance.
