WeRide Inc. (WRD) Stock Surges on Nvidia Investment and Uber Partnership

WeRide Inc. (WRD) stock soared on Friday, February 14, 2025, after Nvidia Corp. (NVDA) revealed in its new 13F filing that it had purchased approximately 1.74 million shares of the Chinese autonomous driving company's stock in the fourth quarter. This investment, worth roughly $58 million, brought significant attention to WeRide and contributed to its stock price surge. As of this writing, WeRide's share price was up 81% as of 1 p.m. ET, and it had been up as much as 146% earlier in the session.



Nvidia's investment in WeRide is a big nothingburger, but it's also brought tons of new attention to the self-driving-technologies specialist. Nvidia is arguably the most influential player in the AI space, and its endorsement carries a lot of weight. A similar situation played out last year after it was revealed that Nvidia had invested in SoundHound AI. Notably, Nvidia's latest 13F filing showed that it had sold its stake in SoundHound AI, triggering a big sell-off.

In addition to Nvidia's investment, WeRide's recent partnership with Uber Technologies Inc. (UBER) has also contributed to its stock price performance. In December 2024, Uber and WeRide announced that they were partnering to offer a robotaxi service in Abu Dhabi. This partnership marked Uber's first international autonomous vehicle offering outside the U.S. and China, further validating WeRide's technology and business model.

Following today's explosive gains, WeRide now has a market capitalization of roughly $8.3 billion. However, the company is still generating relatively little revenue. In its most recently reported quarter, it generated sales of just $10 million, which actually marked a mid-single-digit decline from its performance in the prior-year quarter. Nvidia clearly sees something in the company, and that's a bullish indicator. On the other hand, investors should keep in mind that WeRide is a high-risk, high-reward stock, and there's a risk the stock will see big sell-offs if the AI leader reduces its position.

In conclusion, WeRide Inc. (WRD) stock surged on Friday, February 14, 2025, driven by Nvidia's investment and the company's recent partnership with Uber. These factors have brought significant attention to WeRide and contributed to its stock price surge. However, investors should be aware of the potential risks and challenges associated with the company's high-risk, high-reward stock status.