NEW YORK, August 7, 2026, 04:33 EDT
- Nvidia shares rose 0.4% to $219.90 during early premarket trading.
- Space Exploration Technologies NASDAQ:SPCX selected Nvidia as its sole provider for AI infrastructure.
- Nvidia recorded a 9.1% rise for the week, almost aligning with an 8.7% increase in earnings estimates.
Nvidia stock was up 0.4% at $219.90 as of 04:29 EDT on Friday. The shares ended Thursday at $218.99, a decrease of 0.1%, after hitting $223.63 earlier. Premarket trading was active, with the main Nasdaq session beginning at 09:30 EDT.
The main indicator for investors isn’t immediate contract revenue. The SpaceX comments did not disclose a purchase amount. Rather, the endorsement highlights Nvidia’s platform strength ahead of its August 26 earnings release.
Price comparison for the week so far
| Company | July 31 close | August 6 close | Week-to-date |
|---|---|---|---|
| Nvidia NASDAQ:NVDA | $200.75 | $218.99 | +9.1% |
| Advanced Micro Devices NASDAQ:AMD | $476.15 | $489.28 | +2.8% |
| Broadcom NASDAQ:AVGO | $389.28 | $420.57 | +8.0% |
| Taiwan Semiconductor Manufacturing NYSE:TSM | $404.25 | $418.20 | +3.5% |
Performance based on closing prices as of Thursday.
Nvidia shares rose by $7.28 on Wednesday. Given its most recent reported share count of 24.2 billion, this points to an increase of about $176 billion in market capitalization. Reuters calculated that AMD’s market value dropped by almost $59 billion during the same session. The resulting change in relative valuation was approximately $235 billion.
Elon Musk, CEO of SpaceX, stated, “We think the Vera Rubin architecture is the best architecture.” He also said, “We’re exclusive to Nvidia.” The Wall Street Journal
The decision is significant as SpaceX anticipates major investments in AI infrastructure. Shares of the company fell steeply on Wednesday amid investor concerns about these expenses. However, the market continued to see its choice of chips as an endorsement for Nvidia.
AMD reported a solid quarter, with data-center revenue jumping to $6.72 billion, more than twice the previous period. The company also projected third-quarter sales of $13 billion, topping analysts’ expectation of $12.52 billion. Bernstein analyst Stacy Rasgon noted that investors had “a fairly bullish outlook.” Reuters
Updates to Estimates and Outlook on Valuation
| Company | FY2027 EPS estimate | Three months ago | Revision | Price/FY2027 EPS |
|---|---|---|---|---|
| Nvidia | $9.00 | $8.28 | +8.7% | 24.3 times |
| AMD | $15.15 | $12.88 | +17.6% | 32.3 times |
| Broadcom | $19.55 | $17.98 | +8.7% | 21.5 times |
| Taiwan Semiconductor | $21.66 | $19.59 | +10.6% | 19.3 times |
Consensus estimates and pricing as of market close on August 6; fiscal years vary.
The valuation gap highlights the investor perspective. Nvidia is valued at 24.3 times projected fiscal 2027 earnings, while AMD trades at 32.3 times. As a result, SpaceX’s move underscored Nvidia’s earnings resilience, but did not make it the priciest stock in the group.
The timeframes are not the same. Weekly returns do not line up exactly with quarterly estimate revisions. However, Nvidia’s 9.1% gain is in line with its 8.7% increase in earnings forecasts. The stock’s rally remains largely in step with analysts’ profit outlooks.
Core indicators are solid. Nvidia posted first-quarter revenue of $81.6 billion, marking an 85% rise from the same period last year. Data-center revenue climbed 92% to $75.2 billion. The company projected second-quarter revenue at $91 billion, with a margin of error of 2%.
The upcoming test is the August 26 report. Analysts are projecting second-quarter earnings of $2.08 per share. This forecast has held steady for the past month and is up from $1.93 per share three months ago.
Analyst ratings
| Company | Buy | Overweight | Hold | Sell | Consensus | Median target | Implied upside |
|---|---|---|---|---|---|---|---|
| Nvidia | 54 | 7 | 2 | 1 | Buy | $300.00 | 37.0% |
| AMD | 37 | 11 | 10 | 0 | Overweight | $597.00 | 22.0% |
| Broadcom | 41 | 10 | 4 | 0 | Buy | $527.50 | 25.4% |
| Taiwan Semiconductor | 37 | 7 | 1 | 0 | Buy | $532.50 | 27.3% |
Upside based on closing prices from August 6.
Sentiment on Wall Street stays strongly upbeat. Nvidia’s median price target stands at $300, suggesting a potential 37% gain from Thursday’s close. Yet, the lowest target of $180 points to a possible downside of nearly 18%. The spread continues to be significant.
Risks: Anthropic announced on Wednesday it has established an internal custom-chip team. The company continues to pursue a varied hardware portfolio that includes Nvidia and AMD. There was no schedule given for development. If custom silicon is adopted more quickly, Nvidia may see a reduction in its long-term pricing influence.
On August 26, investors are advised to monitor Rubin shipment schedules, data-center expansion, and gross margin. The SpaceX endorsement raised anticipation but left execution risk unchanged.
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