NVDA: Nvidia Stock Rises as Amazon Unleashes Massive AI Spending Wave

This article first appeared on GuruFocus.

Nvidia (NASDAQ:NVDA) shares ticked higher after investors cheered fresh signs of sustained hyperscaler and national-level AI spending. The stock rose about 1% on Friday to roughly $205, rebounding from a pullback the day before.

The move followed Amazon’s signal that it will keep accelerating AI infrastructure investments, with capital spending plans running into the tens of billions and a large portion earmarked for AI hardware, news that underpins cloud demand for Nvidia chips.

At the same time Nvidia said it will supply more than 260,000 of its Blackwell AI chips to South Korea’s government and major companies, including large allocations for Samsung, SK Group, Hyundai and Naver. Samsung alone plans to deploy about 50,000 units for a new megafactory, giving Nvidia multi-year revenue visibility from big national projects.

Analysts say the combination of hyperscaler purchasing and large corporate/government orders supports a durable demand backdrop for AI GPUs, though investors should watch supply dynamics and pricing as the buildouts progress.