Nvidia (NVDA) Stock: Climbs to Five-Month High as AI Momentum Continues

TLDR

Table of Contents

Nvidia stock rose 0.2% to $142.90 in premarket trading, reaching near 5-month highs
Shares have gained five out of six days, trading at highest levels since late January
CEO Jensen Huang will speak at a Paris conference Wednesday, with investors watching for catalysts
Trade talks between US and China in London this week could impact chip supply chains
Analyst notes tech leading markets as “AI theme marches on” with programming job layoffs accelerating

Nvidia stock edged higher in premarket trading Tuesday, reaching $142.90 and hovering near its highest levels in almost five months. The chip giant has shown consistent strength recently, gaining five out of the past six trading days.

The stock’s recent momentum has pushed shares to their highest point since late January. This performance comes as broader tech indices maintain their own upward trajectory in 2025.

The S&P 500 index continues to hold above the symbolic 6,000 level, posting a 2.1% gain year-to-date. The tech-heavy Nasdaq Composite has performed even better, climbing 2.6% over the same period.

Market strategist Louis Navellier pointed to the continuing strength in artificial intelligence as a key driver. He noted that tech stocks are leading markets as the “AI theme marches on.”

Navellier specifically mentioned accelerating layoffs of programming jobs being replaced by AI technology. This trend underscores the transformative impact of artificial intelligence across various sectors.

Despite ongoing geopolitical concerns, markets appear increasingly confident about corporate earnings prospects. Investors seem willing to look past potential risks that could affect global trade.

Trade Talks and Global Supply Chains

Trade discussions between the United States and China are taking place in London this week. These talks carry particular importance for chip manufacturers like Nvidia, which depend heavily on global supply chains.

Investors hope the discussions will prove productive and lead to agreements minimizing tariffs between the world’s two largest economies. Import taxes can severely disrupt global trade flows, especially for technology companies.

The outcome of these trade talks could have direct implications for Nvidia’s operations. The company relies on complex international manufacturing and distribution networks.

CEO Huang’s Upcoming Conference Appearance

All eyes will be on CEO Jensen Huang when he speaks at a conference in Paris on Wednesday morning. Investors are closely watching for any new catalysts or announcements.

Huang recently delivered a keynote in London alongside Prime Minister Keir Starmer. During that appearance, he pledged AI investment in the United Kingdom.

Nvidia CEO Jensen Huang said the UK was in a sweet spot for AI companies to thrive, but lacks infrastructure
He spoke with UK Prime Minister Keir Starmer at London Tech Weekhttps://t.co/8B7RHaKG8J pic.twitter.com/yW61Z1aILz
— Bloomberg (@business) June 9, 2025

However, Monday’s London event failed to generate much investor excitement. Nvidia stock closed just 0.6% higher following Huang’s appearance with the Prime Minister.

The upcoming Paris conference represents another opportunity for Huang to outline the company’s strategic direction. Market participants will be listening for updates on product development or partnership announcements.

Futures tracking both the S&P 500 and Nasdaq 100 remained relatively flat in early Tuesday trading. This suggests markets are taking a wait-and-see approach ahead of key events.

The current valuation debate around Nvidia reflects the challenges of pricing high-growth technology companies. With a market capitalization of $3.4 trillion, the stock has gained 1,499% over the past five years.

Some analysts view the current price-to-earnings ratio of 46 as reasonable given the company’s growth prospects. First-quarter revenue jumped 69% compared to the same period last year, reaching $130 billion in annual revenues.

The trade talks in London this week could provide clarity on one key risk factor facing the semiconductor industry.

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