Nvidia Shares Rise as Huang Sees AI Stocks at Discount
Nvidia CEO Jensen Huang said investors should be 'very happy' because AI-linked stocks have dipped to a discount, creating a buying opportunity. This comes as global tech stocks experienced a selloff last week amid concerns that interest rates could remain higher for longer.
On Monday, Nvidia shares rose 1.5% in the premarket session, while Micron shares gained 4%, and Intel and Advanced Micro Devices stocks increased by 0.5% and 2%, respectively.
Huang made his comments during a visit to South Korea, where he also announced a new partnership between Nvidia and SK Hynix for components in Nvidia's Vera Rubin accelerators.
The deal will see SK Hynix supply memory chips and components for the accelerators, which are set to begin shipping to customers in the third quarter. The partnership is expected to help maintain a stable supply of memory chips despite their long development cycles.