What Is Going On With Nvidia Stock on Wednesday?
Anusuya Lahiri 2 hours ago
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NVIDIA stock gains over 1% to $209 premarket as resilient AI infrastructure demand and tight TSMC manufacturing capacity outweigh near-term export constraints.
NVIDIA Corp. (NASDAQ:NVDA) stock gained more than 1% in Wednesday premarket trading as investors focused on resilient AI infrastructure demand, strong ecosystem commentary and continued constraints on advanced chip supply.
S&P 500 futures rose about 1%.
AMD And Super Micro Reinforce AI Demand
Recent results from key AI infrastructure players helped support sentiment around NVIDIA.
Advanced Micro Devices Inc. (NASDAQ:AMD) CEO Lisa Su told analysts that revenue could grow more than 80% in 2027, while Super Micro Computer Inc. (NASDAQ:SMCI) reported fiscal first-quarter 2027 revenue of $19.9 billion and raised its full-year revenue outlook to $72 billion-$82 billion.
Those updates reinforced expectations that spending on AI compute and data-center infrastructure remains elevated.
Nvidia Prioritizes Higher-Margin AI Chips
Separately, NVIDIA is prioritizing production of its most advanced, higher-margin AI chips for customers such as OpenAI and Anthropic as global manufacturing capacity remains tight.
That strategy is limiting how quickly the company can satisfy strong Chinese demand for the export-permitted RTX Pro 5500, Bloomberg reported on Wednesday.
Chinese cloud and AI companies including Alibaba Group Holding Ltd. (NYSE:BABA), Tencent Holdings Ltd. (OTC:TCEHY) and ByteDance have reportedly ordered about 6 million RTX Pro 5500 chips, worth roughly $70 billion, but expect to receive only a small fraction over the next several months.
TSMC Capacity Remains A Constraint
NVIDIA relies on Taiwan Semiconductor Manufacturing Co. Ltd. (NYSE:TSM) for production and is allocating more manufacturing capacity toward next-generation products such as Rubin.
That shift is expected to keep RTX Pro 5500 supply constrained.
Chinese buyers estimate deliveries could reach roughly 700,000 units by the end of 2027 as NVIDIA expands production, although actual shipment levels will depend on available capacity.
Technical Analysis
NVIDIA trades at $209.47, leaving the stock below its major short- and medium-term moving averages.
It sits about 3.7% below its 20-day SMA of $217.99, 5.2% below its 50-day SMA of $221.46 and 2.2% below its 100-day SMA of $214.55.
However, the stock remains roughly 2.6% above its 200-day SMA of $204.56, keeping the longer-term trend intact even as the near-term rebound remains unconfirmed.
Earnings And Analyst Outlook
NVIDIA is scheduled to report earnings on Nov. 17, 2026.
Consensus calls for EPS of $2.48, up from $1.30 a year earlier, and revenue of $109.17 billion, compared with $57.01 billion last year.
The stock trades at a 26.1-times P/E multiple.
NVIDIA carries a Buy consensus rating with an average price forecast of $341.04.
Recent analyst actions include Melius Research maintaining Buy while lowering its forecast to $315, Needham maintaining Buy with a $300 forecast, and Cantor Fitzgerald maintaining Overweight with a $350 forecast.
NVDA Stock Price Activity: NVIDIA shares were up 1.32% at $209.42 during premarket trading on Wednesday, according to Benzinga Pro data.
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