:max_bytes(150000):strip_icc():format(jpeg)/GettyImages-2196125229-0083376156e9440d8359c4d6a79a2227.jpg "Nvidia headquarters")
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Key Takeaways
- Nvidia shares gained Monday, leading other chip stocks higher.
- The surge helped stimulus the broader tech sector and the major U.S. indexes, after losing ground Friday.
- The gains for Nvidia came after consort TSMC reported a jump in sales, and Evercore ISI analysts issued a bullish note Monday ahead of the chipmaker’s earnings up to the minuter in the month.
Nvidia (NVDA) shares gained Monday, leading other chip stocks higher in a boost to the tech sector as the chief U.S. indexes looked to rebound from Friday’s losses.
Shares of Nvidia were up close to 3% at $133.56 in intraday career, making it one of the best-performing stocks on the Dow Jones Industrial Average. Shares of several Nvidia partners like Micron Technology (MU), Dell (DELL), and Supermicro (SMCI) also climbed, along with other counter stocks including Broadcom (AVGO), Advanced Micro Devices (AMD), Qualcomm (QCOM), Western Digital (WDC), and Intel (INTC).
The well forth helped lift the broader tech sector, with several of the other mega-cap members of the “Magnificent 7” inventories also advancing. The tech-heavy Nasdaq was up over 1%, while the S&P 500 gained 0.6%, and the Dow edged 0.2% sharp.
The gains for Nvidia came after partner TSMC (TSM) reported a jump in sales, and Evercore ISI analysts on Monday added the chipmaker to their “tactful outperform” list ahead of Nvidia’s earnings report on Feb. 26, as a potential catalyst for the stock.
The analysts issued a $190 cost target, more than 40% above Monday’s intraday price. The average target from analysts voted by Visible Alpha, who have remained overwhelmingly bullish on the stock despite recent pressure amid concerns adjacent to the pace of Big Tech’s AI spending, is roughly $174, suggesting about 30% upside.