One of Wall Street’s favorite stocks has been rising, for now.
Nvidia (NVDA) stock rose 19% in April. The stock is on a surprising 10-day winning streak.
The gains likely reflect two factors.
For one thing, the flow of Nvidia news this month has been strong. The AI chip company announced Tuesday that it had expanded beyond its core GPU business with Ising, an open family of quantum AI models already used in EeroQ, Conductor, IQM labs and top universities.
Second, the stock market has shown surprising resilience this month on hopes that the U.S. conflict with Iran is coming to an end. The S&P 500 (^GSPC) is now up 9.8% over the last 10 sessions. With that momentum, investors have returned to high-growth names like Nvidia.
“All investors are piling into semis and hardware as the software sector sells off at any price,” Wedbush technology analyst Dan Ives told Yahoo Finance. “(Taiwan’s) stock market hit an all-time high last week as investors ignore geopolitics and jump into AI hardware trading.”
The vibe at Nvidia has seemingly turned on a dime after an ugly first quarter.
Nvidia shares plunged 7.6% in the first quarter, underperforming the S&P 500, the Dow Jones Industrial Average (^DJI), and the Nasdaq Composite (^IXIC).
The stock ended the first quarter below the psychologically important 200-day moving average, a level below which Nvidia fell in mid-March.
Despite a strong GTC 2026 conference in early March, where CEO Jensen Huang revealed a $1 trillion revenue pipeline through 2027, Nvidia stock was hit by a “sell the news” reaction from investors, who questioned how much growth had already been built into its premium valuation.
The company faced other obstacles that also weighed on the stock.
While Nvidia dominates the AI ”training” chip market, there was growing uncertainty about how quickly it can monetize the shift to AI inference (running models in production).
Analysts are hoping for tangible evidence that Blackwell Ultra shipments will translate into immediate profits and that the recent acquisition of Grok makes strategic sense.
But for now, all seems forgiven, at least until Nvidia reports earnings again in a few months!
Brian Sozzi is the executive editor of Yahoo Finance and a member of Yahoo Finance’s editorial leadership team. Follow Sozzi on X @BrianSozzi, instagramand LinkedIn. Story tips? Send an email to brian.sozzi@yahoofinance.com.
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