NVIDIA’s stock $NVIDIA(NVDA)$ has recently continued to soar, once again rewriting Wall Street history. The company has officially become the world’s first publicly listed company to surpass a $4 trillion market capitalization, reclaiming the top spot globally by overtaking both Microsoft and Apple.
From a news-driven perspective, the core catalyst behind this latest surge lies in the positive signals released during NVIDIA’s shareholder meeting at the end of June, which reinvigorated investor confidence in the AI market outlook. In addition, the company recently announced the resumption of H20 chip exports to China, and CEO Jensen Huang’s renewed visit to China further reinforced optimism about NVIDIA’s growth prospects in the region.
Source: CNBC
Shareholder Meeting: A Grand Vision for the AI Future
At the end of June, NVIDIA $NVIDIA(NVDA)$ held its latest shareholder meeting, during which Jensen Huang once again painted a bold blueprint for the company’s future. He emphasized the massive growth opportunities ahead, stating that AI is entering a new era of “agent AI” and “physical AI,” which will trigger a new industrial revolution. Sectors like manufacturing, robotics, and autonomous driving will be transformed by AI, unlocking trillion-dollar markets.
Robotics, according to Huang, will be the company’s next core strategic focus and serve as a new growth engine. Autonomous vehicles will be the first major commercial application of robotic technologies. Future use cases will require both NVIDIA’s data center AI chips and edge chips installed in vehicles and robots.
The company highlighted breakthroughs achieved by the Blackwell GPU architecture in inference and generation tasks, along with the development of a rich set of software libraries. It plans to release new chips annually to drive the concept of “AI factories,” which aim to facilitate AI adoption across industries. These AI factories are not limited to data centers but are also being extended to the edge, such as 5G radio networks. NVIDIA is collaborating with industry partners to develop a complete AI+5G acceleration stack for edge computing.
The move toward physical AI applications in robotics, an accelerated full-stack ecosystem, and rapid chip iteration underpin NVIDIA’s ambition to not only remain a leader in AI compute, but to also reshape the physical and infrastructural layers of the world.
H20 Exports Resume: Re-engaging the China Market
In April, the U.S. government informed NVIDIA $NVIDIA(NVDA)$ that its H20 AI chips could not be exported to China without a special export license—a policy widely interpreted as an effective ban. As a result, NVIDIA wrote down $550 million in related assets and saw revenue drop by approximately $2 billion in that quarter, with a projected $8 billion hit in Q2. Huang expressed concern that such restrictions would only accelerate innovation in China’s domestic AI chip industry while weakening U.S. technological influence.
On July 14, NVIDIA’s official social media announced that the Trump administration had relaxed the restrictions and allowed H20 exports to resume—although individual shipments still require U.S. government export licenses, the administration has promised to grant them. Just days before the announcement, Huang had met with Trump at the White House.
Source: X
This week, Huang visited China to attend the 3rd China International Supply Chain Expo, where he praised the country’s manufacturing capabilities, saying it would be “extremely naive” to underestimate them. He also emphasized that semiconductors and AI are evolving rapidly, and NVIDIA’s H20 is well-suited to China’s AI demands. His visit further reinforced expectations of NVIDIA’s strategic return to the Chinese market.
Are the Risks Truly Behind?
Previously, we believed that the greatest risk to NVIDIA’s $NVIDIA(NVDA)$ long-term growth would be the potential loss of Chinese market demand due to U.S. export restrictions. While this risk has temporarily eased, it is far from eliminated. The trend of increasing U.S.-China trade tensions appears to be ongoing. For now, NVIDIA is only permitted to export its previous-generation Hopper architecture products to China, which lack the latest performance enhancements. Meanwhile, Chinese chipmakers are accelerating efforts to develop more advanced alternatives. If the U.S.-China relationship continues to deteriorate, NVIDIA’s influence in the Chinese market may still gradually decline.
That said, we recognize NVIDIA’s broad AI vision, especially in emerging physical AI markets like autonomous driving and robotics. If the company can maintain a dominant position in these high-growth areas, its long-term potential remains strong and continues to warrant investor optimism.
Invesight Viewpoint
In summary, NVIDIA’s $NVIDIA(NVDA)$ recent rally and its historic $4 trillion valuation mark not just a milestone in AI leadership, but also a renewed vote of confidence from the global capital markets. With its unmatched technology stack and forward-looking investment in physical AI fields like robotics and autonomous driving, NVIDIA is building a vertically integrated AI moat. It remains the most promising contender to lead the next wave of industrial transformation and redefine the future AI-driven economy.
However, geopolitical risks stemming from U.S.-China tensions still loom large. The potential erosion of NVIDIA’s presence in the Chinese market remains one of the biggest constraints on its growth ceiling and long-term imagination.
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