(Reuters) – Nvidia shares rose after more than tripling in value over the past year as the leading AI chip supplier unveiled its latest flagship product that is expected to further solidify its lead in the industry. , fell in premarket trading Tuesday.
Shares of Wall Street's third-most valuable company fell about 1%, and some analysts said investors had already priced in the launch and were keeping an eye on further details.
“If Blackwell's latest chip didn't cause another rally, it's because the arrival of a new, more powerful chip was already priced in,” said Ipek Ozkardeskaya, senior analyst at Swissquote Bank.
Stock prices of other semiconductor manufacturers also fell. Super Micro Computers fell 1.5%, Advanced Micro Devices fell 1.7% and Marvell Technology fell 2.2%.
Along with its B200 „Blackwell“ chip, the company announced Monday at its much-anticipated annual developer conference a new software tool aimed at making it easier for developers to sell artificial intelligence models to companies that use Nvidia's technology. The set was explained in detail.
The company's flagship B100 chip combines two silicon squares of the same size as the company's previous products, and is expected to be adopted by Amazon.com, Alphabet's Google, Meta Platforms, Microsoft, OpenAI, and Tesla. ing.
Nvidia is also moving from selling single chips to selling complete systems.
„While it will take time to evaluate Blackwell's performance claims, the company's ability to raise the bar this much puts Blackwell in a very strong position,“ Morgan Stanley analysts said in a note. Ta.
Many analysts expect Nvidia's market share to drop several percentage points this year as competitors launch new products and the company's biggest customers manufacture their own chips.
However, Nvidia's market power is expected to remain intact.
The company, which controls 80% of the AI chip market, discussed pricing and the transition from H100 chips to B100 chips in a presentation to financial analysts Tuesday at 11:30 a.m. ET (3:30 GMT). It is expected that details will be announced. .
Nvidia's forward price-to-earnings ratio (P/E), which is often used as a metric for value stocks, was 34.6 times, lower than the average of 42 times over the past three years.
(Reporting by Medha Singh in Bengaluru; Editing by Pooja Desai)