Nvidia Corp. shares on Monday secured their longest winning streak in nearly seven years as they hovered near their all-time high.
The chip giant earlier Monday introduced its new artificial-intelligence chip, promising significant performance improvements relative to the prior model.
The H200 is the first graphics-processing unit from Nvidia
NVDA,
to feature HBM3e memory, giving it more bandwidth and capacity and highlighting “the importance of memory in next-gen AI workloads,” according to Wells Fargo analyst Aaron Rakers.
Nvidia “has not refreshed prior datacenter GPUs in the past, so this represents further evidence of [Nvidia] accelerating their product cadence in response to AI market growth and performance requirements, which further expands their competitive moat,” Wolfe Research analyst Chris Caso noted.
Shares of Nvidia rose 0.6% in Monday trading to notch their ninth session in a row of gains. That made for the stock’s longest winning streak since Dec. 27, 2016, when it rose for 10 trading days in a row, according to Dow Jones Market Data.
The stock has advanced more than 19% during the current nine-session stretch.
Opinion: This Nvidia partner has seen its stock surge 200% this year. But investors may be overlooking a risk.
Nvidia shares, which closed Monday at $486.20, are hovering 1.5% below their all-time closing high of $493.55, which was achieved Aug. 31.
Mizuho desk-based analyst Jordan Klein weighed in Monday on Nvidia’s rally over the past week, writing that the gains in shares of Nvidia, Broadcom Inc.
AVGO,
and Taiwan Semiconductor Manufacturing Co.
2330,
seemed to reflect traction among “real” long-only investors and retail buyers, while gains for Advanced Micro Devices Inc.
AMD,
and chip-equipment shares seemed more like a short squeeze.
Nvidia shares have enjoyed a 233% climb so far this year. The company is due to report fiscal third-quarter earnings Nov. 21 after the closing bell.
See also: AMD just delivered a ‘revelation.’ Why some on Wall Street still have pause.
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