The company also plans to upgrade its AI accelerators every year
Nvidia Corp (NASDAQ:NVDA) is ramping up the competition with Advanced Micro Devices (AMD) and Intel (INTC), as it looks to solidify its lead in the artificial intelligence (AI) sector. The tech concern revealed plans to roll out Rubin -- a next-generation AI chip platform -- in 2026, and expects to upgrade its AI accelerators every year. In response, NVDA was last seen up 2.9% at $1,128.41.
The security is very close to its May 30, record high of $1,158.19, and remains firmly above the 20-day moving average, a trendline that acted as resistance for most of April before flipping back into support in May. Shares also sport a 128.4% lead so far in 2024.
NVDA is no stranger to Schaeffer's Senior Quantitative Analyst Rocky White's list of stocks that have attracted the highest options volume during the last 10 days. While it's behind electric vehicle (EV) giant Tesla (TSLA) this time around, bullish bets were all the rage in last two weeks, with 9,895,330 calls and 7,006,684 puts traded. The weekly 5/31 1,150-strike call saw the most action.
The security is already in analysts' good graces, but BofA Global Research hiked its price target to $1,500 from $1,320 today. Of the 40 brokerage firms in coverage, 37 call Nvidia stock a "buy" or better, while the 12-month consensus target price of $1,177.75 is a 4% premium to current levels.