Nvidia Growth Engine Revealing the Key Driver for Long Term Success

Nvidia, a big player in artificial intelligence, is on a roll. It is aiming to surpass Apple and challenge Microsoft in terms of market value. As Nvidia stock set to growth new all time high. It is joining other strong semiconductor companies like Taiwan Semiconductor and Advanced Micro Devices on IBD Leaderboard. Which tracks top performing stocks as they enter new bought opportunities.

Last week Cava stock proved its strength by bouncing back from a dip after earning to reach new high. However, it has slightly retreated from those peaks since then. In May, Brett Schulman, the CEO of the Mediterranean-food restaurant, was highlighted in the IBD Leaders & Success column.

First Solar has surged to new highs since breaking out on May 22, with its relative strength line showing impressive Nvidia growth. On that day, the stock jumped nearly 19% as solar stocks rallied. Since then, First Solar has continued to build on those gains.

Nvidia Takes on Apple and Microsoft in Market Supremacy Battle

Microsoft is currently leading the pack among all U.S.-traded companies with a market value of just over $3 trillion, topping the list of the “Magnificent Seven” stocks. Apple follows closely behind hold the No. 2 spot with a market cap of $2.98 trillion.

Nvidia with a market cap of $2.83 trillion is aiming to surpass Apple and claim the No. 2 position. CEO Jensen Huang recently unveiled plans for new artificial intelligence accelerator chips. Which could boost Nvidia’s position in the market.

During the fiscal Q1 earnings call on May 22, Huang also mentioned Nvidia’s strategy to design new chips annually. A departure from its previous practice of release new platforms every two years.

AMD stock is forming a cup pattern, hinting at potential Nvidia growth. Its support at the 10-week moving average remains steady, but the slope is downward since March. Taiwan Semiconductor is in a buying range, having tested support at its 21-day moving average. It recently hit an entry point in a double-bottom pattern. It’s also credited in IBD Stock Analysis for its role in Nvidia’s AI success.

The IBD Leaderboard team increased their investment in Eli Lilly by 25% after its shares passed a double-bottom entry point on May 21 with high trading volume. This indicates strong market leadership, especially since the stock’s relative strength line is now trending upwards.

Previously, Eli Lilly stock achieved a 20% profit from entering at 469.87 in a flat base, as well as another flat base entry in 2023 at 629.97.

Another drug company, Novo Nordisk, has recently added a handle to its cup-shaped chart pattern. The buy point for this pattern is 137.22. The relative strength line of Novo Nordisk has risen significantly after three consecutive weeks of strong performance.

However, it’s important to note that Novo Nordisk’s new base is considered to be in a late stage, which carries some risk. Additionally, the relative strength line hasn’t reached new highs along with the stock, which is another point of concern.