Nvidia Shares Reach Peak

Nvidia (NVDA) shares concluded the trading week on August 8 at a record high, driven by sustained investor enthusiasm for artificial intelligence. The chipmaker's stock closed at $182.70, marking a split-adjusted record. This surge reflects a 36% increase this year, with 19 all-time highs achieved.

Optimism surrounding OpenAI's new AI model, GPT-5, and potential increased spending from Tesla have fuelled Nvidia's rise. Tesla's shift towards external chip suppliers, reducing its internal microchip development, is expected to benefit Nvidia. The company's shares have increased nearly 75% in the last 12 weeks, resulting in a market capitalisation of $4.46 trillion. Furthermore, Nvidia anticipates exemptions from proposed US tariffs on microchip imports due to its commitment to investing $500 billion in US AI infrastructure.

Analysts maintain a positive outlook, with a consensus 'Strong Buy' rating and an average price target of $186.24. This surge highlights Nvidia's dominance in the AI and semiconductor markets, driven by its innovation and adaptability to evolving market demands.