Jensen Huang’s Fortune Breaks $200 Billion As Nvidia Stock Reaches Record High
AI chip demand, a record $150 billion buyback boost and bullish options trading pushed the stock higher as investors eyed a $6 trillion valuation.
- Nvidia shares are climbing, with options markets assigning a 50% probability the company will reach a $6 trillion valuation by the end of this month.
- The rally follows Nvidia's expanded stock repurchase program, where the board authorized an additional $150 billion in repurchases on Sept. 28, bringing the total remaining to $235 billion.
- According to Barchart, traders are showing a bias toward hedging for a rally, with "call skew" data indicating call options trading with higher implied volatility than equivalent puts.
- Ben Emons, managing director at Highline Asset Management, wrote that Nvidia's buyback is a "capital-allocation event" asserting confidence in long-run AI demand, calling it a "bright spot."
- To hit the $6 trillion threshold, Nvidia would need to reach a stock price of $248, based on roughly 24.1 billion shares outstanding as of Aug. 21.
82 Articles
82 Articles
The manufacturer of chips is on the verge of meeting another milestone: to exceed the $6 trillion of capitalization. The "Magnificent Seven" of American technology together with Space X exceeds a joint value of 27 trillion dollars, to three of the world's largest economy: USA Read
Nvidia is approaching a market capitalization of $6 trillion as its stock price hits an all-time high, driven by strong earnings and a $150 billion share buyback plan. Overcoming initial concerns about overinvestment in AI, the company is leading the semiconductor industry, posting a stock price increase of approximately 30% this year thanks to recovering demand and an inflow of market capital.
The decline in oil and rates supports the US indices, while Nvidia is approaching a historical valuation of $6,000 billion. ...
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