Nvidia On Track To Extend Rally To 10th Straight Session: What's Going On

Shares of Nvidia Corp. NVDA are higher in premarket trading on Tuesday, suggesting the stock could open higher yet again.

Nvidia closed up 0.59% at $486.20 on Monday and traded up 0.53% at $488.80 in premarket trading on Tuesday, according to Benzinga Pro data. If the inflation data due ahead of the market open comes in tamer-than-expected, the broader market may react with a move to the upside, which could also benefit Nvidia.

Nvidia stock has been advancing since November 1, and the positive close on Monday marked the ninth straight session of gain. This was the longest winning streak since Dec. 27, 2016, when it rose for 10 trading days in a row, Barron’s reported, citing Dow Jones Market data.

With the recent gains, the chipmaker’s stock has perched at the highest level (on an intraday basis) since September 1. Nvidia is the top-performing S&P 500 stock this year and has been the outperformer among the “Magnificent Seven,” – a moniker given to the biggest mega-cap tech stocks.

Much of the positive sentiment toward the stock is the promising potential artificial intelligence holds for the company. The Jensen Huang-led company has been the frontrunner in the AI race, and its high-performance AI chips are used for training AI applications.

On Monday, Nvidia unveiled the H200, its new AI chips, which the NVIDIA Grace Hopper will power accelerated computing architecture.

The company is scheduled to report its third-quarter results after the market closes on November 21. The stock could be in for more upside in the run-up to the day.

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