Nvidia stock rises on AI chip reveal and Wall Street optimism

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Nvidia stock is climbing today as Wall Street reacts to the company’s next-gen AI chip launch and a $368 billion data center boom fueled by Big Tech. Shares rose nearly 4% Wednesday, outperforming the S&P 500 and reinforcing Nvidia’s dominant position in the artificial intelligence race.

Nvidia’s Rubin CPX chip sparks investor excitement

Nvidia’s latest announcement—the Rubin CPX chip—marks a major leap in AI processing. Set to debut by late 2026, Rubin CPX is designed to tackle one of AI’s biggest challenges: processing long and complex inputs, like full-length videos and large software codebases.

Key specs and claims:

  • 30 petaFLOPs of compute power
  • 128 GB GDDR7 memory
  • Built-in video decoding, encoding, and inference
  • Projected 30x–50x return on $100 million infrastructure investment

The Rubin chip will be part of Nvidia’s Vera Rubin NVL144 CPX rack system, which combines 144 Rubin GPUs, 36 Vera CPUs, and delivers 8 exaFLOPs of compute with 100 terabytes of high-speed memory.

Why Nvidia stock is up today

Beyond new product hype, Nvidia stock (NASDAQ: NVDA) is getting a boost from broader macro trends and Wall Street’s AI optimism:

  • +3.85% gain in NVDA as of Wednesday afternoon
  • S&P 500 up 0.3%
  • Goldman Sachs reports $368 billion in AI capital spending by tech giants in 2025
  • Nvidia now the largest player in AI infrastructure, ahead of AMD and Intel

The company benefits from massive AI infrastructure investments by the so-called “Magnificent Seven” tech giants—including Microsoft, Apple, Amazon, and Tesla—all of whom are building next-gen data centers powered by Nvidia hardware.

AI spending reshapes the market

While Nvidia’s stock is rising, a Goldman Sachs report warns that the same AI boom is slowing down traditional share buybacks across the S&P 500.

  • Capex spending is up 24% year-over-year
  • Gross share buybacks are down 1%
  • Magnificent Seven companies, including Nvidia, saw no growth in buybacks this quarter

This shift shows just how central AI infrastructure has become. Companies are now prioritizing long-term tech investment over short-term stockholder returns.

What to watch next

Nvidia’s next earnings report will be critical for validating its Rubin CPX claims. Investors are watching closely to see if:

  • AI revenue growth continues at record pace
  • New chip systems generate early orders
  • Competitors (like AMD and Intel) respond with similar architectures

Until then, Nvidia stock remains one of Wall Street’s top bets on the future of artificial intelligence.



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