Nvidia CEO Addresses AI Demand Concerns, Software Stocks Rise
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 01 2026
0mins
Software stocks moved higher in pre-market trading Monday after Nvidia (NVDA) CEO Jensen Huang used his Computex keynote in Taipei, Taiwan to push back on concerns that AI could erode demand for traditional software. Huang said agentic AI should act as a "massive productivity multiplier," arguing that AI agents will rely on and not replace a broad range of software tools. Further, he stated that the shift will ultimately increase demand for software engineering rather than diminish it. Shares of ServiceNow (NOW), Adobe (ADBE), Workday (WDAY), Salesforce (CRM), and Microsoft (MSFT) are all trading up this morning.
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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: 204.650
Low
200.00
Averages
264.97
High
352.00
Current: 204.650
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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- Comprehensive Product Offering: The Vera CPU, combined with Nvidia's GPUs, networking, and CUDA software, creates a complete ecosystem that allows the company to capture incremental value from each AI deployment, thereby increasing customer loyalty.
- Optimistic Revenue Projections: CFO Colette Kress stated that total CPU revenue is expected to reach nearly $20 billion this year, indicating that the Vera CPU is already being viewed as a strong alternative for AI infrastructure build-outs.
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- Diversified Investment Opportunities: Investing in ETFs that encompass multiple memory companies, such as Roundhill Memory ETF (DRAM) and Tuttle Capital Concentrated Memory Stack ETF (HBMX), provides investors with lower-risk opportunities to capture industry growth amid market volatility.
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- Revenue Growth Potential: Nvidia achieved an impressive 85% revenue growth in the first quarter, reaching $81.6 billion, indicating sustained demand and market expansion capabilities in AI, which is expected to yield substantial returns for future investors.
- Business Model Differences: In contrast, SpaceX generated less than $19 billion in revenue last year and only grew 15% in the first quarter, with its ambitious $1 trillion revenue goal facing significant technical hurdles, reflecting the uncertainty and high risk of its business model.
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See More
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- Berkshire's Strategic Acquisition: Under new CEO Greg Abel, Berkshire Hathaway acquired Taylor Morrison, merging it into one of the largest homebuilding platforms in the U.S. to address a 7 million home deficit, showcasing its strategic positioning in the real estate market.
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See More
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