NVIDIA’s stock continued its upward momentum, rising more than 3% today after a 5% surge the previous day.
On Thursday, NVIDIA shares gained 3.08% to close at $128.68 on the New York Stock Exchange, pushing its market capitalization to $315.1 billion.
A Wall Street giant Morgan Stanley report highlighting a prime buying opportunity drove the latest rally.
Morgan Stanley’s analysis suggested that NVIDIA’s recent stock drop, triggered by concerns over China’s AI firm DeepMind, presented an attractive entry point for investors.
The firm argued that despite uncertainties surrounding DeepMind, strong demand for NVIDIA’s next-generation Blackwell chips makes the stock a compelling buy.
NVIDIA had already jumped 5.35% the previous day, following earnings reports from major U.S. tech companies that underscored continued heavy investment in AI.
On Tuesday, Alphabet, Google’s parent company, announced plans to invest $75 billion in AI this year, far exceeding the initial projection of $57.9 billion, despite missing quarterly earnings expectations.
Bank of America analyst Vivek Arya maintained a “buy” rating on NVIDIA with a target price of $190, citing strong cloud capital expenditures. This positive outlook further fueled NVIDIA’s 5% surge.
With robust demand and renewed investor confidence, NVIDIA appears set to shake off the DeepMind concerns and continue its bullish run.