NVDA Stock Alert: Nvidia Launches New Graphics Card With AI Tech

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  • Nvidia (NVDA) has just launched the new GeForce RTX 4070 graphics card.
  • This innovation represents an important step forward for artificial intelligence (AI) technology.
  • NVDA stock is down today but that will likely change as markets adjust to this news.
NVDA stock - NVDA Stock Alert: Nvidia Launches New Graphics Card With AI Tech

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Despite reporting positive news, Nvidia (NASDAQ:NVDA) stock is falling today.

The semiconductor innovator has announced the launch of the GeForce RTX 4070, a new graphics card. This represents an important step forward in artificial intelligence (AI) technology. Priced at $599, it will be available for purchase tomorrow. CEO Jensen Huang recently revealed to Yahoo Finance that the company is witnessing a rise in demand for its DGX AI supercomputers. While this is clearly a significant development for the company, NVDA stock isn’t reacting well to the news. However, this doesn’t mean investors shouldn’t be excited by this new product launch.

Let’s take a closer look at what’s happening in the market today and what investors can expect from Nvidia in the near future.

What’s Happening With NVDA Stock

As of this writing, NVDA stock is down about 1% for the day. This isn’t an encouraging performance, but it is likely unrelated to the graphics card news. This dip can be attributed to general negative market momentum. Many other prominent chip stocks today are also in the red, including Micron Technology (NASDAQ:MU) and Advanced Micro Devices (NASDAQ:AMD). However, Nvidia’s current trajectory shows it is trying hard to rally. If it continues, the stock will likely pull back into the green well before the markets close.

Once market conditions improve, news of this product launch will likely boost NVDA stock. Although the company already exhibits plenty of value, this recently introduced graphics card will aid investors in obtaining additional exposure to the thriving AI market. Per Yahoo Finance:

“The announcement comes at a good time for Nvidia, which has seen its shares climb nearly 90% year-to-date. Notably, the graphics giant has been considered a key play for those looking to invest in artificial intelligence (AI). The company doubled down on AI at its GTC 2023 developer conference last month, announcing products like the DGX Cloud, a service that Nvidia says offers business customers the supercomputing abilities necessary to train generative AI models of their own.”

Many experts remain highly bullish on NVDA stock. The company enjoys a moderate buy consensus on TipRanks. Of the 36 Wall Street analysts quoted 27 rate it as a “buy.” InvestorPlace‘s Louis Navellier also sees the stock as a winner, making a solid case for why it will likely keep rising despite its currently high price points. And contributor Faizan Farooque speculates that it could be the next trillion-dollar company due to AI growth, a perspective ChatGPT has also supported. The company’s tech also boasts strong metaverse applications, an area of tech that is booming alongside AI.

What Comes Next

The short answer to the question of what comes next for NVDA stock is growth.

The company is well-positioned to keep climbing steadily as the AI and metaverse booms continue to overtake markets. That isn’t to say that competition isn’t mounting. Industry leader Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) recently stated that some of its chips are “1.7 times faster and 1.9 times more power-efficient than a system based on Nvidia’s A100 chip.” However, Nvidia has made it clear through today’s announcement that it is focused on turning out products to keep it in the AI race.

NVDA stock is on the verge of turning around already. As the 2023 bull market emerges, it will likely remain among the ranks of tech stock winners.

On the date of publication, Samuel O’Brient did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.


Article printed from InvestorPlace Media, https://investorplace.com/2023/04/nvda-stock-alert-nvidia-launches-new-graphics-card-with-ai-tech/.

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