Nvidia stock was rising ahead of the open Monday as it appeared set to shrug off pressure across the tech sector. The shares may be getting a boost from its supplier SK Hynix.
Nvidia shares were up 1.3% at $192.32 in early trading Monday. Among other chip makers, Advanced Micro Devices was down 1.9%, while Broadcom were down 1.1% and 0.8% in premarket trading, respectively. Elsewhere, the Nasdaq Composite was down 0.5%, while S&P 500 had fallen 0.3% after President Donald Trump announced a new 15% global tariff Sunday.
Nvidia, which reports earnings Wednesday, may be spared the worst of the selling after Chey Tae-won, chairman of Sk Hynix’s parent SK Group pledged to increase AI memory chip production. Tae-won made comments at a conference in Washington on Friday, Bloomberg reported.
Even after recent market jitters, the continued growth of AI-linked data centers is driving demand for SK Hynix’s high-bandwidth memory (HBM) chips—critical in training advanced AI models.
That should ultimately benefit Nvidia, whose chips rely on HBMs. Higher output from SK Hynix would help Nvidia to overcome memory chip supply shortages.
In its latest quarterly report, SK Hynix said it expects to see “a considerable increase” in capital expenditures this year.
Monday’s move, however, does little to change the fact that Nvidia stock has remained rangebound for the last six months. Iinvestors will be closely monitoring Nvidia’s upcoming earnings report after the market closes on Wednesday.
Nvidia is expected to report adjusted earnings of $1.51 a share on revenue of $65.94 billion for its January quarter, according to a FactSet poll of analysts’ estimates.
If anything can get Nvidia moving again, earnings can.
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