Nvidia hits new record, moves toward $6trn value

Nvidia (NVDA) stock rose more than 2% in early trading on Wednesday.

The stock is now on track to beat its record closing price of $149.43 set in January.

It’s a big comeback for the AI chipmaker, which faced setbacks earlier this year.

Since its May 28 earnings report, Nvidia shares have jumped over 12%.

That rise beats the S&P 500’s 3.6% gain in the same period.

In Q1, Nvidia beat Wall Street’s expectations.

It also showed strong performance despite new U.S. export restrictions on chip sales to China, one of its top markets.

Confidence in the company is growing fast.

On Wednesday, Loop Capital analyst Ananda Baruah raised his price target on Nvidia stock to $250 — the highest on Wall Street.

“While it may seem fantastic that NVDA fundamentals can continue to amplify from current levels, we remind folks that NVDA remains essentially a monopoly for critical tech, and that it has pricing (and margin) power,” Baruah said in a note to clients.

Loop Capital believes the AI chip market could grow to $2 trillion by 2028.

If Nvidia hits the $250 target, its market value could reach $6 trillion, up from $3.6 trillion today.

But some doubts remain.

There are concerns about whether demand for AI infrastructure will keep rising.

Big Tech is spending billions on AI, but many are earning much less from it.

Nvidia’s stock faced heavy losses earlier in the year.

In January, Chinese startup DeepSeek launched a cheaper AI model.

That sparked worries about Nvidia’s future chip sales.

In April, President Trump introduced steep new tariffs and banned Nvidia’s H20 chip sales to China.

The move led to a $2.5 billion loss in Q1, and Nvidia expects an $8 billion hit in Q2.

Competition is also rising in China.

Huawei is reportedly working on a powerful new AI chip that could match Nvidia’s earlier H100 model.

On April 4, Nvidia shares closed just above $94, their lowest in over a year.

But the stock started to bounce back in May.

That month, Nvidia signed major AI chip supply deals with Saudi Arabia and the UAE.

The stock’s rebound helped it briefly overtake Microsoft (MSFT) to become the world’s most valuable company in early June.

Nvidia stock also rose 2.6% on Tuesday.

Other chipmakers — including Intel (INTC), AMD (AMD), and Broadcom (AVGO) — gained over 3.5% that day.

Investors are returning to tech in large numbers.

Bank of America said tech stock inflows last week were the highest since June 2024.

The Nasdaq 100 and Nasdaq Composite also hit fresh highs on Tuesday, lifted by Nvidia and other big tech names.

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