Key Highlights
- Nvidia shares advanced over 2% Thursday, reaching approximately $218 per share
- Jensen Huang projected the company will double chip unit sales in the upcoming year
- The chipmaker forecasts 70% revenue expansion for its coming fiscal year, with potential to double given adequate supply
- Chinese competitor Huawei unveiled plans for two new AI processors launching next year
- Huang set to participate in Trump-Xi state dinner scheduled for September 24
Nvidia stock advanced more than 2% Thursday, hovering near $218 per share, following CEO Jensen Huang’s aggressive demand predictions and a technology sector rally that lifted broader indices.
Speaking at a summit in Scotland organized by King Charles III, Huang shared with journalists his expectation that Nvidia will move twice the volume of chips next year compared to current levels. “AI delivers such tremendous value across various industries and economies,” he explained, justifying the optimistic outlook.
The semiconductor giant is poised for its second consecutive day of positive momentum. The broader S&P 500 index climbed 1.1% while the tech-heavy Nasdaq Composite jumped 1.6% during Thursday’s trading session, with technology stocks driving the upward movement.
The semiconductor sector saw widespread gains. Qualcomm shares increased 2% and Intel experienced a remarkable 9% surge during the same trading period.
Financial Growth Projections
Nvidia outlined plans last month for 70% revenue expansion through its fiscal year concluding January 2028, targeting approximately $673 billion in sales. Huang suggested revenues could potentially reach double that figure if manufacturing capacity could satisfy market appetite.
The company keeps precise chip unit volumes confidential. Its flagship offerings include data center graphics processing units, notably the Blackwell and Rubin architectures. Last autumn, Huang revealed that Nvidia delivered 6 million Blackwell GPUs across four quarters.
The company’s portfolio extends well beyond graphics processors, encompassing central processing units, networking switches, optical interconnect chips, mobile computing processors, Jetson chips designed for robotics and automotive applications, and the processor powering Nintendo’s Switch 2 console.
During the Scotland gathering, Huang emphasized artificial intelligence safety protocols, stressing corporate accountability prior to product launches. “If a product fails to meet safety standards, we must delay its release and continue development,” he stated. His appearance came alongside executives from Google DeepMind, OpenAI, and Anthropic.
Chinese Competition Intensifies
Concurrent with Huang’s Scotland appearance, Huawei made significant announcements. The Chinese technology powerhouse revealed intentions to introduce two new artificial intelligence processors next year, claiming it has already deployed over 1,000 AI computing platforms to more than 370 clients.
This initiative represents China’s broader strategy to decrease dependence on American technology suppliers, responding to Washington’s limitations on Chinese access to Nvidia’s cutting-edge chip technology. Huawei has operated under US sanctions since 2019.
Morgan Stanley analysts project China’s artificial intelligence chip market could reach $67 billion by decade’s end, with Chinese manufacturers capturing 86% market share, a significant increase from under 50% in 2025.
From a diplomatic perspective, Huang is anticipated to join a state dinner organized by President Trump honoring Chinese President Xi Jinping on September 24. Artificial intelligence topics are expected to feature prominently in Trump-Xi discussions.
Huang has cultivated strong relationships with the Trump administration and accompanied the president to China earlier this year. He previously attended a state dinner hosted by Xi in May, joining Elon Musk and former Apple chief executive Tim Cook.
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