Nvidia: A Momentum Stock to Watch for Your Portfolio

Nvidia Corporation (NVDA) is a momentum stock with a B score in the Momentum Style Score and a B in the VGM Score. The stock has seen a 5.6% decrease in the past week and a 3.2% increase in the past four weeks. In the last one-year period, NVDA has gained 32.8%. The Zacks Consensus Estimate for fiscal 2026 has increased to $4.45 per share, with an average earnings surprise of 3.6%. NVDA is a good addition to any portfolio due to its strong earnings fundamentals and good Zacks Rank.

NVIDIA Corporation (NASDAQ:NVDA) has received approval from the United States to ship its advanced AI chips to the United Arab Emirates (UAE), marking a significant milestone in the company's international expansion. The approval, granted by the Commerce Department's Bureau of Industry and Security, is part of a bilateral artificial intelligence agreement signed in May 2025; the agreement allows the UAE to import 500,000 of NVIDIA's most advanced AI chips annually from 2025 to 2027, with a potential extension until 2030, according to an Insider Monkey report.

NVIDIA Corporation, a full-stack computing infrastructure company, focuses on accelerated computing to solve complex computational problems. The company offers AI data center platforms, GPUs, networking solutions, and autonomous vehicle technologies. The approval to ship chips to the UAE aligns with the company's strategic focus on expanding its global footprint and leveraging its AI expertise.

In the context of NVIDIA's stock performance, the company has seen a 5.6% decrease in the past week and a 3.2% increase in the past four weeks. Over the last year, NVIDIA's stock has gained 32.8%, indicating robust growth. The Zacks Consensus Estimate for fiscal 2026 has increased to $4.45 per share, with an average earnings surprise of 3.6%. This positive outlook underscores the company's strong earnings fundamentals and its Zacks Rank, making it a potential addition to any portfolio .

While NVIDIA's momentum and growth prospects are promising, investors should be mindful of the broader AI market dynamics. The global AI market is projected to reach $250 trillion by 2040, driven by advancements in AI technology and its applications across various industries . However, the market is highly competitive, and investors should carefully evaluate the risks and opportunities associated with individual companies.

In conclusion, NVIDIA Corporation's approval to export its AI chips to the UAE is a significant development that supports the company's growth strategy. The stock's recent performance and earnings projections indicate strong fundamentals, making it an attractive option for investors. However, the broader AI market's complexity and competition should be considered when evaluating investment opportunities.

References
- The US Approves Shipment of NVIDIA Corporation’s (NVDA) Chips to UAE: `https://www.insidermonkey.com/blog/the-us-approves-shipment-of-nvidia-corporations-nvda-chips-to-uae-1628845/`