NVIDIA Corporation (NASDAQ: NVDA) continues to captivate investors as a linchpin of the AI revolution, navigating a landscape of geopolitical risks, earnings catalysts, and transformative technological advancements. With the NVDA stock price today hovering around $131.29 and a market cap exceeding $3.2 trillion, the company’s trajectory hinges on AI innovation, competitive resilience, and macroeconomic forces. This 1,500+ word analysis unpacks NVIDIA’s stock split history, price volatility, growth drivers, and long-term outlook, offering actionable insights for investors.
1. NVDA Stock Split History: Democratizing Ownership
NVIDIA executed a 10-for-1 stock split in June 2024, its sixth split since going public in 1999. This move reduced shares from ~$1,200 to $120, enhancing accessibility for retail investors and boosting liquidity211. Historically, splits have followed parabolic rallies, such as the 2021 4-for-1 split during the tech boom. Post-2024 split, shares surged 28% in six months but faced a 40% correction in April 2025 amid tariff tensions and macroeconomic turbulence
Why Another Split in 2025 Is Unlikely
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Affordable Pricing: At ~$131.29, shares remain accessible to retail investors, negating the need for structural changes
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Strategic Focus: NVIDIA prioritizes Blackwell GPU production and sovereign AI partnerships over stock engineering
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Regulatory Caution: SEC guidelines discourage splits for “hype-driven volatility,” urging companies to prioritize fundamentals
Analysts like Alyssa Nance argue another split is improbable unless shares approach $1,000 pre-split levels—a scenario deemed unlikely given NVIDIA’s $3.2 trillion valuation
2. NVDA Stock Price Today: Geopolitical Risks and Market Volatility
As of May 25, 2025, NVDA stock price stands at $131.29, reflecting a 1.16% dip from the previous close. The stock has traded between $86.62 and $153.13 over the past year, showcasing extreme volatility driven by:
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U.S.-China Trade Tensions: Export restrictions cost NVIDIA $15 billion in lost China sales, with Huawei’s Ascend 910B chips dominating the local market
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Tariff Pressures: Duties on Chinese imports fluctuated between 30% and 145%, prompting NVIDIA to raise GPU prices by 15% to offset costs
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Earnings Speculation: Options traders predict a 7.4% swing post-Q1 fiscal 2026 earnings on May 28, with revenue projected at $43 billion (up 65% YoY)
For real-time updates on NVDA stock price trends, platforms like Yahoo Finance remain critical, while Taza News offers in-depth geopolitical analysis
3. Growth Catalysts: AI Factories and Sovereign AI
NVIDIA’s long-term value hinges on diversifying its AI ecosystem beyond hardware:
a. Sovereign AI Infrastructure
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Global Collaborations: Partnerships with Japan ($740M investment) and Saudi Arabia’s $500 billion Stargate Project position NVIDIA as a geopolitical force in sovereign AI infrastructure13. Sovereign AI revenue could approach $10 billion in 2025
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Data Center Dominance: NVIDIA holds ~90% of the data center GPU market, driven by Hopper and Blackwell architectures. Cloud providers like AWS and Azure are deploying Blackwell GPUs to convert $1 trillion in traditional data centers into AI hubs
b. Automotive and Robotics
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DRIVE Thor Platform: Powers next-gen EVs from Toyota and Hyundai, targeting a $200 billion autonomous vehicle market
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Project GR00T: A foundation model for humanoid robots, accelerating adoption in healthcare and logistics
c. Software Monetization
The CUDA platform (used by 95% of AI developers) and NVIDIA AI Enterprise 5.0 create sticky revenue streams, with software accounting for 18% of total revenue ($24 billion in fiscal 2025)
4. Financial Performance: Record Revenue and Margin Resilience
NVIDIA’s fiscal 2025 results underscore its dominance in AI and data centers:
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Q1 FY2025 Revenue: $26.0 billion, up 262% YoY, driven by record data center revenue of $22.6 billion (up 427% YoY)
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Full-Year Revenue: $130.5 billion, up 114%, with non-GAAP gross margins at 75.5%
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Q1 FY2026 Outlook: Revenue projected at $43 billion (±2%), with AI demand offsetting tariff impacts
CEO Jensen Huang emphasized the “amazing demand” for Blackwell GPUs, which powered a $500 billion partnership with Saudi Arabia’s Stargate Project
5. Risks: Valuation, Competition, and Market Saturation
a. Overvaluation Concerns
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Morningstar’s Fair Value: $125, implying slight overvaluation at current levels
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Forward P/E: 30.49x (vs. 5-year average of 59.3x) suggests vulnerability to earnings misses
b. Rising Competition
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AMD’s MI325X: Competes with NVIDIA’s H200 in AI workloads, while Intel’s Gaudi 3 threatens data center margins
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Hyperscaler In-House Chips: Google’s TPUs and Amazon’s Trainium aim to reduce reliance on NVIDIA
c. Geopolitical Flashpoints
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China Exposure: 25% of revenue is tied to China, where export curbs threaten growth
6. NVDA Stock Forecast: Bull vs. Bear Scenarios
Analysts diverge sharply on NVIDIA’s trajectory:
Scenario | 2025 Price Target | 2030 Outlook | Key Assumptions |
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Bull Case (ARK) | $521.94 | $854+ | 45% annual revenue growth, AI dominance |
Bear Case | $96.95 | $150 | Market saturation, valuation collapse |
For nuanced analysis, Taza News provides real-time updates on NVDA stock price trends and geopolitical impacts
7. Investor Strategies: Balancing Risk and Reward
a. Short-Term Traders
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Earnings Play: Straddle options to capitalize on the expected 7.4% post-May 28 swing
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Technical Levels: Support at $114.44 (50-day SMA); resistance at $153.13 (ATH)
b. Long-Term Investors
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Dollar-Cost Averaging: Accumulate shares below $130 to leverage AI’s secular growth9
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Sector Diversification: Pair NVIDIA with stable dividend stocks (e.g., Procter & Gamble) to offset volatility
Conclusion: NVIDIA’s Crossroads Between Innovation and Geopolitics
NVDA stock price today’s May 28 earnings report will test its ability to justify a $3.2 trillion valuation amid AI euphoria and geopolitical risks. While the NVDA stock split in 2024 democratized ownership, long-term success hinges on executing its AI factory vision and fending off competitors. Investors should:
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Monitor China Demand: Blackwell orders from Alibaba and Tencent could surprise
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Track Margin Resilience: Tariff impacts and pricing power will shape profitability
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Diversify Portfolios: Hedge against NVDA’s 10.16% volatility with stable assets
For ongoing insights into NVDA stock price today and split analysis, leverage resources like Taza News, your trusted source for actionable market intelligence
Disclaimer: This article is for informational purposes only. Consult a financial advisor before making investment decisions.