Key Stats for Nvidia Stock
- Price change for Nvidia stock in last 6 months: 7%
- $NVDA Stock Price as of Oct. 19: $217
- 52-Week High: $243
- $NVDA Stock Price Target: $329
Now Live: Discover how much upside your favorite stocks could have using TIKR’s new Valuation Model (It’s free)>>>
What Happened?
Nvidia (NVDA) is seeing a rush of demand from China.
Two people familiar with the matter told Reuters that ByteDance, Alibaba and Tencent have ordered more than 3 million RTX PRO 5500 cards. At about $11,400 each, the orders are worth over $35 billion.
The RTX PRO 5500 is a workstation chip, which is less powerful than the H200 and B300 data center chips.
But it is among the most powerful Nvidia chips Chinese buyers can still get. The B300 is not allowed to be sold to Chinese buyers and H200 exports are reviewed case by case.
Nvidia may not be able to fill all the orders. Sources said partners might get only 5% to 10% of what they asked for.
One source said Nvidia could make no more than 3 million cards globally in 2027 and total orders from China have topped 6 million.
Early samples are expected in December and commercial deliveries would start in the first quarter of 2027.
Chinese firms want the cards mainly for inference, which means running trained AI models to answer chatbot requests.
That takes less computing power than training. The older RTX 6000D drew little interest last year and hopes that Washington would allow stronger chips have faded, which makes the new card more appealing.
An Nvidia spokesperson blamed “outdated US export controls” and China’s own limit on US imports.
See analysts’ growth forecasts and price targets for Nvidia stock (It’s free) >>>
What the Market Is Telling Us About Nvidia Stock
For Nvidia stock, the story is about demand more than sales, and the chipmaker has also said it cannot guarantee delivery.
This matters because China has been a lost market. Jensen Huang has said the curbs cut Nvidia’s share of China’s AI data center chip market from a near monopoly to almost nothing.
These orders suggest a sizable market may still exist for less powerful chips.
Nvidia’s outlook does not count on China. On its August call, the company said there is no China data center compute revenue in its forward outlook. So any China sales would be extra upside for Nvidia stock.
From 2027, Nvidia is expected to devote much of its capacity at TSMC to Rubin, its next data center platform.
On its own business, Nvidia expects about 70% revenue growth in fiscal 2028 and says supply is the bottleneck.
Chinese firms are leaning more on domestic suppliers like Huawei, and Nvidia also expects its gross margin to dip to 71% to 72% in Q4.
Investors in Nvidia stock should watch whether Nvidia can raise output. Any change in US export rules could also move Nvidia stock.
Estimate a company’s fair value instantly (Free with TIKR) >>>
So what is Nvidia stock actually worth?
TIKR lets you forecast the future price of any stock in less than a minute. Just enter a few assumptions into TIKR’s valuation model and see what NVDA stock could be worth. Start from Wall Street consensus estimates, or adjust the inputs to reflect your own view of the business. It’s free to use.
Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
