Early on Tuesday, Nvidia stock was going down. The chip maker lost some of the gains it made when it showed off its next-generation AI hardware, but it is still close to all-time highs.
In pre-market trading, Nvidia shares were down 0.4% to $1,145.60. On Monday, the stock ended the day up 4.9%. The 10-for-1 stock split that the company had planned will happen this Friday.
Over the weekend, Nvidia CEO Jensen Huang talked about plans for the Blackwell Ultra chip in 2025 and a next-generation Rubin platform for 2026. On Monday, Nvidia stock closed at a new record high.
News from the Computex trade show in Taiwan shows that people want Nvidia’s next-generation hardware.
Foxconn, which used to be called Hon Hai Precision Industry, announced on Tuesday that it would use Nvidia’s Blackwell chips to build a high-tech data centre in Taiwan. Apple gets a lot of its parts from Foxconn. The centre will have a total of 4,608 graphics processing units. It is part of the companies’ plans to work together on robotics and manufacturing, which they announced earlier.
“Right now, we’re still looking at four to six quarters where supply can’t meet demand.” “NVIDIA can charge whatever they want for their products, and people will still buy them,” wrote Dave Sekera in a research note. He is the chief U.S. market strategist at Morningstar.
Sekera says that Nvidia’s expected $28 billion in sales for the second quarter probably leaves room for it to do better than expected. This means that the only thing that could go wrong is if its biggest customers start to spend less. Morningstar thinks that Nvidia shares are worth $1,050 each.
Among other chip companies, Advanced Micro Devices was down 0.7% and Intel was up 0.7% before the market opened. On Monday, Intel talked about its own AI chips in more detail.
As of Monday night, Nvidia stock had gone up 132% so far this year. If you look at the same time period, the S&P 500 index went up 11% and the Nasdaq Composite Index went up 12%.
