What's Going On With Nvidia Stock Tuesday?

Nvidia Corp NVDA continues to triumph ahead of its peers Advanced Micro Devices, Inc AMD and Intel Corp INTC, buoyed by the artificial intelligence frenzy.

The AI kingpin is all set to clock revenue of $58.86 billion for FY23, up 118% year-on-year consensus, with a Q4 consensus of $20.04 billion.

However, things might not be all hunky dory for Nvidia. The company could face some impact from the postponement of production plans by its key suppliers, Taiwan Semiconductor Manufacturing Co TSM and Samsung Electronics Co SSNLF, at their Arizona and Texas fabs, respectively. 

TSMC and Samsung's obstacles suggest that their new multi-billion-dollar plants may come to fruition after the 2024 U.S. presidential election.

Another possible dampener for Nvidia could be the U.S. Department of Commerce's survey in 2024 to analyze how U.S. companies source their legacy chips, including addressing security risks associated with its key market, China.

Meanwhile, Chinese companies have started developing AI products to beat the U.S. technology embargo on China.

Also Read: Analysts Eye AMD and Nvidia's AI Rivalry: Who Leads the Tech Race?

Nvidia stock has gained over 241% year-to-date versus AMD with over 118% and Intel with 80%. SPDR S&P 500 SPY has gained over 24% year-to-date, and Invesco QQQ Trust, Series 1 QQQ has gained over 54%.

Price Action: NVDA shares traded higher by 0.18% at $489.20 premarket on the last check Tuesday.

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