Nvidia’s valuation reached a thumping $3 trillion for the first time since February, with the company’s stock rising by 6% on Wednesday. This comes shortly after a 90-day pause was declared for the steep U.S.-China tariffs.
According to Wedbush Securities’ analyst and tech stock watcher Dan Ives, Nvidia emerged as a winner after the easing of the trade tensions between U.S. and China. “It would have to be Nvidia,” Ives told Yahoo Finance in an interview just before the chipmaker’s market valuation crossed $3 trillion. According to Ives, the broader tariff relief rally in tech, coupled with an artificial intelligence investment cycle that remains intact, creates a “dream scenario” for the AI chip leader. Ives also said “I think the stock makes … new all-time highs because there’s only one chip in the world fueling the AI revolution, and that’s led by the godfather of AI, Jensen, and Nvidia.”
Nvidia’s rise in stock can also be partly explained by the company’s partnership with Humain, Saudi Arabia’s sovereign wealth fund-owned AI startup. The partnership was announced on Tuesday as part of the kingdom’s plans to develop artificial intelligence and strengthen cloud computing infrastructure with the help of foreign investment.
READ: Nvidia CEO on his way to being richest man in the world after Saudi deal (May 14, 2025)
Humain is a Saudi Arabian artificial intelligence company launched in 2024 and fully owned by the kingdom’s $940 billion Public Investment Fund (PIF). Chaired by Crown Prince Mohammed bin Salman, Humain is central to Saudi Arabia’s Vision 2030 plan to diversify its economy and become a global leader in AI. The company aims to develop cutting-edge AI models, including Arabic-language systems, and build advanced digital infrastructure such as data centers.
This partnership has been seen as indicative of the rise in demand for Nvidia’s high-performance GPUs, which are essential for powering advanced AI systems and cloud computing infrastructure.
Meanwhile, Nvidia CEO Jensen Huang is reportedly on the way to dethroning Elon Musk as the richest man in the world after his net worth jumped from $80 billion last year, to $120 billion, on Tuesday.