Nvidia, Stock Of The Day, Offers Early Buy Point As It Crosses Key Levels

NVIDIA

NVIDIA

NVDA


$1.67



1.19%



15%

IBD Stock Analysis

  • Stock rises above 50-day moving average line
  • Breaks downward trendline
  • Forming double-bottom base with 146.54 buy point

Composite Rating

Industry Group Ranking

Emerging Pattern

Double Bottom

* Not real-time data. All data shown was captured at
11:13AM EST on
12/24/2024.

Nvidia (NVDA) is the IBD Stock Of The Day as the AI-chip maker rises above its 50-day moving average line, offering an early entry.

Nvidia shares have risen for four consecutive trading days, rebounding from a recent sell-off. Earlier this month, Nvidia stock triggered sell signals.




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Nvidia’s climb above its 50-day moving average line is a positive sign. But shares have been moving sideways for two months amid concerns about demand and production issues with its latest Blackwell graphics processing units.

Still, Nvidia stock is on track to form a shallow double-bottom base by the end of the week. That base would have a buy point of 146.54.

In midday trades on the stock market today, Nvidia stock advanced 0.7% to 140.65. Earlier in the session, it was up as much as 1.6% to 141.90. Shares are actionable above the 50-day line as well as clearing a short downward-sloping trendline from the record high of 152.89.

Nvidia’s upsurge follows the rise of its contract chipmaker Taiwan Semiconductor Manufacturing (TSM). On Monday, TSM stock broke out of a cup-with-handle base at a buy point of 205.63.

Nvidia Stock Catalysts Ahead

The next potential catalyst for Nvidia stock could be announcements at the CES 2025 tech trade show in Las Vegas. Chief Executive Jensen Huang is scheduled to give a keynote speech there on Jan. 6.

Then in March, Nvidia is holding its GTC conference. That AI-focused conference is set for March 17-21 in San Jose, Calif.

Wedbush Securities analyst Matt Bryson said Nvidia is likely to introduce its GB300 AI server, known as “Blackwell Ultra,” at GTC. He rates Nvidia stock as outperform with a price target of 175.

On Friday, Morgan Stanley analyst Joseph Moore called Nvidia stock a top pick for 2025.

Nvidia stock is on four IBD stock lists: IBD 50, Leaderboard, SwingTrader and Tech Leaders.

Follow Patrick Seitz on X, formerly Twitter, at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.

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