Nvidia shares are back near record highs after a strong rebound fueled by continued demand for AI infrastructure. The stock has climbed around 19% over the past month, recovering sharply from its March lows and trading just below its all-time high.
The rally comes ahead of Nvidia’s upcoming quarterly earnings report on May 20, where investors will closely watch whether the AI boom can continue driving explosive growth.
In its latest results, Nvidia reported revenue of $68.1 billion for the fourth quarter, up 73% year-over-year. The company’s data center division remained the key growth engine, generating $62.3 billion in revenue as cloud giants continue investing heavily in AI chips and infrastructure.
Nvidia also forecast even stronger growth for the current quarter, expecting revenue to reach about $78 billion. Company executives said demand for AI infrastructure continues to exceed expectations, despite ongoing uncertainty around China-related restrictions.
Still, some risks remain. Major tech firms including Amazon, Alphabet, and Meta are developing their own AI chips, which could increase competition over time. Investors are also watching whether massive AI spending by hyperscalers can remain sustainable in the long run.
Despite the recent surge, many analysts believe Nvidia’s valuation still looks reasonable compared to its rapid growth and strong profitability. For investors bullish on the long-term AI trend, Nvidia remains one of the market’s top AI plays.
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