The U.S. stock markets opened lower as the Dow Jones Industrial Average fell 0.21% and the S&P 500 decreased 0.08%, while the Nasdaq saw a slight increase of 0.05%. Notably, NVIDIA (NVDA, Financial) shares rose by 2.67%, setting a new record high, with its stock price at $141.324 and a total market capitalization reaching $3.5 trillion.
According to industry reports, analyst Ming-Chi Kuo from Tianfeng International Securities highlighted that orders for NVIDIA's new Blackwell GB200 chips have surged, with Microsoft being the largest customer. Orders are expected to increase by 3 to 4 times compared to other cloud service providers in the fourth quarter. NVIDIA plans to expand the production capacity of its Blackwell chips in early 2024, with an estimated shipment of 150,000 to 200,000 units in Q4 of 2024, and a significant increase of 200% to 250% in Q1 of 2025, reaching 500,000 to 550,000 units.
NVIDIA's CEO, Jensen Huang, previously shared that the Blackwell chips are fully in production and experiencing high demand. In the stock market, NVIDIA's shares have increased by 189.5% this year, reaching a new high with a market value of $3.5 trillion. Wall Street analysts remain optimistic, with Bank of America projecting a 13% to 20% increase in earnings per share (EPS) for fiscal years 2025-2026, raising the target stock price to $190. Goldman Sachs noted that NVIDIA's valuation is near the median price-to-earnings ratio of the past three years and is relatively low compared to its peers.
