Skip to content

Nvidia leads surge in semiconductor stocks as NVDA shares climb 4%

Nvidia leads surge in semiconductor stocks as NVDA shares climb 4%
Dino Kurbegovic

Big technology companies, along with the broader market, have seen their share prices have decimated in recent weeks. Meanwhile, according to more notable analysts on Wall Street, the pain could continue as no apparent signs of capitulation have been noted. 

On the other hand, Nvidia (NASDAQ: NVDA) shares ended the day on Tuesday, June 21, up over 4% pulling the semiconductor industry up with it. 

Currently, Nvidia is trading at $165.66, in the last month NVDA has been trading in the $153.28 – $196.19 range. At the moment it is trading in the middle of this range, so some resistance may be found above.

NVDA 20-50-200 SMA lines chart. Source. data. See more stocks here.

It seems that no specific news caused the stock to surge, nor were there possible reasons for Advanced Micro Devices (NASDAQ: AMD), Qualcomm (NASDAQ: QCOM), and Analog Devices (NASDAQ: ADI) to all finish up, namely 2.72%, 2.81%, and 2.57%, respectively. 

Further, the Nasdaq index finished in the green with a gain of more than 2% for the session. 

Small signs of hope 

Comparably, one of the factors that might be behind the recent upswing in the stock prices of semiconductor companies could have something to do with Apple (NASDAQ: AAPL). Namely, the company’s iPhone shipments in China for May rose markedly

Moreover, UBS analyst, David Vogt, believes that the company strengthened its market position with a 3.2% rise year-over-year (YoY) and will possibly positively impact the next earnings. 

“As such, we believe our 42 million June quarter iPhone estimate (down 9% [year-over-year], in line with April/May) should already capture the potential disruptions minimizing downside risk ahead of earnings next month.” 

Additionally, shares of Micron Technology (NASDAQ: MU) finished the trading session up by 1.88%, as analyst Toshiya Hari, from Goldman Sachs (NYSE: GS), maintained its buy rating on the firm. Though, the analyst did note certain headwinds which could spell trouble for the chipmaker in the short term.

Slowdown imminent.

Despite the short rally in semiconductor stocks, demand slowdown seems to worry market analysts and investors in certain segments of the industry. 

Supply chain tightness may end up causing delays in delivery, while an increase in production costs could combine to become a perfect storm that will lower the share prices of the above companies in the near future.

Buy stocks now with Interactive Broker – the most advanced investment platform

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

Best Crypto Exchange for Intermediate Traders and Investors

  • Invest in 70+ cryptocurrencies and 3,000+ other assets including stocks and precious metals.

  • 0% commission on stocks - buy in bulk or just a fraction from as little as $10.

  • Copy top-performing traders in real time, automatically.

  • Regulated by financial authorities including FCA and FINRA.

2.8 Million Users
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. eToro USA LLC does not offer CFDs, only real Crypto assets available. Don’t invest unless you’re prepared to lose all the money you invest.

Read Next:

Weekly Finance Digest

By subscribing you agree with Finbold T&C’s & Privacy Policy

Related posts