Nvidia shares jumped 4% to $219.22 on August 5, hitting their highest point in two months. The stock has climbed 10.47% over five trading days as major tech companies signal aggressive AI spending plans that keep demand for the chipmaker's GPUs firmly in place.
Microsoft, Amazon, Alphabet, and Meta all reported capital spending above expectations during recent earnings calls, with each planning to expand data center and AI infrastructure budgets in coming quarters. These investments directly feed demand for Nvidia's processors, which power most AI training and inference workloads across the industry. SpaceX added fresh momentum when Elon Musk announced on August 4 that the company would use Nvidia chips for its future AI computing infrastructure, signaling yet another major buyer entering the market.
On the technical side, Nvidia broke above a descending channel that had held since May, a move traders typically read as a shift toward stronger momentum. The stock did pull back from its intraday high though, with sellers showing up near current levels. Support sits around $200 to $210 if a correction kicks in. Nvidia reports fiscal Q2 results on August 26, with analysts expecting revenue near $91.8 billion, roughly double the year-ago figure. The company's 2026 AI chip capacity is already nearly fully booked, underscoring how tight supply remains in this market.
This article is for informational purposes only and does not constitute investment advice. Consult a financial advisor before making trading decisions.
