Nvidia's $26.675 Billion Trading Volume Drops 40.91% Yet Stock Price Rises 1.67%

On June 2, 2025, Nvidia's trading volume reached $26.675 billion, marking a 40.91% decrease from the previous day. Despite this, the company's stock price rose by 1.67%.

Nvidia's growth remains robust despite missing China sales. The company's strong guidance for the July quarter and resilient demand for AI chips indicate that the China sales hiccup is potentially temporary. Policy changes and the development of a new China-specific AI computer chip that can form high-powered clusters for AI models are expected to mitigate the impact of export restrictions.

Nvidia's leadership in powering the AI revolution has driven incredible revenue growth. The company's revenue in 2024 was $130.50 billion, an increase of 114.20% compared to the previous year. Earnings were $72.88 billion, an increase of 144.89%. Analysts have given Nvidia a "Strong Buy" rating, with a 12-month stock price forecast of $172.93, which is an increase of 25.88% from the latest price.

Despite booming demand elsewhere, Nvidia's growth would still be hindered without the world's second-largest economy. The company's significant investment in CoreWeave and its role as a major supplier of chips to the cloud company highlight its strategic partnerships. Nvidia's development of a new China-specific AI computer chip further underscores its commitment to the Chinese market.

Nvidia's Q1 FY26 results were remarkable, with the company's ongoing strength directly tied to the pioneering leadership and vision of Jensen Huang. The company's ability to navigate challenges, including export restrictions and trade tensions, has positioned it as a core tech play in the AI and semiconductor sector. Growing demand for high-performance GPUs in AI and data centers continues to drive Nvidia's growth.