Nvidia stock extended its recovery on Thursday as investors reassessed demand across artificial intelligence infrastructure. NVDA traded near $226 after rebounding from approximately $189 in late July, bringing the shares to their highest level in two months and closer to the record high around $236.

OpenAI's expanding business added another demand signal for the chipmaker. Nvidia remains deeply connected to the AI company through investment and infrastructure agreements, including a strategic partnership to deploy 10 gigawatts of Nvidia systems, tying the AI company's compute buildout to Nvidia's hardware.

Key Insights

• Nvidia stock has jumped to its highest level in two months.
• OpenAI, a company Nvidia has invested in, has gone back to growth.
• OpenAI's annualized revenue run rate has climbed to $40 billion.

OpenAI Is Back to Growth

Nvidia has benefited substantially from the ongoing artificial intelligence (AI) boom because of its role in the GPU and networking spaces, and it has used its windfall to make large investments in other technology companies, including OpenAI, CoreWeave, Nebius, and IREN.

Its biggest investment is OpenAI, with Nvidia committing to invest $100 billion. OpenAI received an $850 billion valuation in this funding round. Recently, however, concerns had built up around the company amid reports that its business was slowing, alongside worries that it faced substantial competitive pressure from Anthropic and Chinese companies such as Moonshot and DeepSeek.

Now, some of those fears have been reduced after media reports suggested its business is back to growth. According to Bloomberg, OpenAI's annualized revenue run rate (ARR) reached $40 billion, with the growth fueled by top products such as coding. A run rate annualizes revenue from the most recent period, and it is a common gauge of momentum for subscription-driven software and AI businesses heading toward a public listing.

The growth is expected to help OpenAI justify a high valuation when it goes public. The company has already filed for an IPO, with Polymarket traders predicting that the listing will happen next year. OpenAI aims for its IPO to deliver a valuation of $1 trillion or above.

The odds of the company hitting a $1 trillion valuation jumped after reports said Anthropic was planning to go public at a $2 trillion valuation. If this happens, chances are that OpenAI will follow closely. Nvidia stands to benefit from these moves, since it has also invested in Anthropic.

Other companies Nvidia has invested in are also doing well. CoreWeave published strong results, with the GPU cloud specialist's revenue backlog hitting $104 billion, while Nebius also released strong financial results this week, pushing the AI infrastructure provider's stock close to its all-time high.

Nvidia to Publish Strong Financial Results Later This Month

The next important catalyst for the NVDA stock price will be its earnings report, which is due out later this month, and all indications are that Nvidia will release strong numbers.

For one, its top suppliers like Foxconn and TSMC have released very good numbers. While they supply products to other companies, their results are a good indication of what Nvidia did during the quarter. Its top clients like CoreWeave, Microsoft, Amazon, and Google also released strong numbers and boosted their capital expenditure plans, meaning the company's results will likely be better than expected.

That proxy reading carries weight because Nvidia's data center revenue is concentrated among a small group of hyperscale cloud providers and GPU specialists, so their capital budgets serve as a near-term gauge of chip demand.

Yahoo Finance data shows Nvidia's revenue jumped 96% in the second quarter to $91.85 billion. A Polymarket poll estimates that the company will beat its forward guidance, implying revenue above $95 billion. Beyond the headline figures, Nvidia's guidance for the current quarter will provide the clearest update on how the AI infrastructure buildout is tracking.

Nvidia Stock Price Technical Analysis

The daily timeframe chart shows that NVDA has rebounded in the past few months and is now trading at its highest level since June 6. The stock has moved to the Ultimate Resistance level of the Murrey Math Lines tool.

Additionally, the stock has jumped above the key resistance level of $214, the neckline of the double-bottom pattern, and has remained above the 50-day moving average.

Based on this chart structure, the path of least resistance for the stock is upwards, with the immediate target being the all-time high of $236. If the surge continues, the technical setup raises the possibility of a move to $250, followed by $300 in the long term.

Source: The Market Periodical