Jensen Huang May Accompany Trump on China Trip
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Should l Buy NVDA?
Source: stocktwits
- Market Challenge: Jensen Huang stated he would accompany Trump to China if invited, aiming to address Nvidia's significant challenge of effectively zero sales in the Chinese market, highlighting the company's struggles amid U.S.-China trade tensions.
- Sales Decline: Nvidia previously generated $25 billion in sales from China in 2024, accounting for 32% of total revenue, but due to U.S. restrictions on advanced technology exports, sales have now nearly dropped to zero, indicating a severe market environment for the company.
- Stock Performance: While Nvidia's stock rose 14% in April, it significantly lagged behind the iShares Semiconductor ETF (SOXX), which surged 40.4% during the same period, suggesting that market confidence in Nvidia is impacted by issues in the Chinese market.
- Investor Sentiment: Despite retail investors maintaining a bullish sentiment towards Nvidia, viewing it as undervalued, the company's sales challenges in China remain a primary constraint on stock performance, reflecting market concerns about future growth.
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Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 211.500
Low
200.00
Averages
264.97
High
352.00
Current: 211.500
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is an artificial intelligence (AI) infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. Its segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing and networking platforms and AI solutions and software, and automotive platforms and autonomous and electric vehicle solutions, including software. The Graphics segment includes GeForce GPUs for gaming and personal computers (PCs), and Quadro/NVIDIA RTX GPUs for enterprise workstation graphics. Its technology stack includes the foundational NVIDIA CUDA development platform that runs on all NVIDIA GPUs, as well as hundreds of domain-specific software libraries, frameworks, algorithms, software development kits (SDKs), and application programming interfaces (APIs). Its platforms address four markets, which include Data Center, Gaming, Professional Visualization, and Automotive.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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See More
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- Valuation Appears Reasonable: Nvidia's current forward P/E ratio stands at 25, below its average during the AI revolution, making it a reasonable entry point for long-term investors considering the trillions in potential infrastructure spending over the next decade.
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