Nvidia Raises Bar At CES 2025. But Stock Slides.

LAS VEGAS — Nvidia (NVDA) got upbeat reviews from Wall Street analysts after Chief Executive Jensen Huang delivered a positive update on the company's Blackwell launch, introduced new products and outlined the path to "physical AI" in a speech at CES 2025. But Nvidia stock fell Tuesday.

Late Monday, Huang gave the opening keynote address at the trade show. The tech visionary received a rock star welcome from the more than 6,000 attendees at Michelob Ultra Arena at Mandalay Bay. It was fitting since the arena previously has hosted such rockers as Ozzy Osbourne and Iron Maiden.

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Matching the glitz of Las Vegas, Huang wore a shiny black alligator-skin jacket instead of his traditional black leather jacket.

Huang kicked off his speech by announcing that the company's latest generation AI processor series, Blackwell, is now in full production. Analysts had been concerned that Blackwell was running into production issues.

"Blackwell is in full production," Huang said. "Every single cloud service provider now has systems up and running. We have systems here (at CES 2025) from 15 computer makers."

Huang also introduced the Nvidia Blackwell GeForce RTX 50 Series graphics processing units and a family of laptop computers that use versions of the new GPUs.

The top-of-the-line Nvidia GeForce RTX 5090 GPU has 92 billion transistors and delivers 3,352 trillion AI operations per second (TOPS).

"The GPU is just a beast," Huang said.

The RTX 50 series desktop GPUs will be available starting Jan. 30. Notebook computers with the new GPUs will be available in March. The products are designed for gamers, creators and developers.

Nvidia Stock Hits All-Time High

Nvidia stock spiked to a record high of 153.13 after the opening bell but then retreated. In recent trades on the stock market today, Nvidia stock sank more than 4% to 142.47.

The stock took a hit even though Wall Street analysts liked what they heard from Nvidia's Huang.

Rosenblatt Securities analyst Hans Mosesmann reiterated his buy rating on Nvidia stock with a price target of 220.

"Our key takeaway is Nvidia continues to enhance and develop both AI hardware and software offerings that will help maintain its AI leadership as the market transitions to physical AI," Mosesmann said in a client note.

Wedbush Securities analyst Daniel Ives maintained his outperform rating on Nvidia stock after the CES 2025 keynote. Huang showed how the company is stretching its "enormous technology lead," Ives said in a report.

"This was a major 'flex the muscles' moment for Nvidia," Ives said. "We walked out of last night's event feeling even more bullish about Nvidia and the overall AI Revolution."

BofA Securities analyst Vivek Arya kept his "top pick" buy rating on Nvidia stock after the CES 2025 keynote.

Nvidia showed its "continued AI dominance across hardware and software, expanding (its) reach from cloud to enterprise and consumer," Arya said in a client note.

Stocks Getting Nvidia Lift

Meanwhile, Nvidia maintained its track record of giving sleepy stocks a boost by announcing business deals with the companies behind them.

Last week, it was Cerence AI (CRNC), which is teaming with Nvidia on automotive-based voice AI. This week it's Aurora Innovation (AUR), Arbe Robotics (ARBE) and Innoviz Technologies (INVZ).

Nvidia announced late Monday it is partnering with driverless truck startup Aurora and automotive tech firm Continental. Also Monday, it announced collaborations with radar sensor maker Arbe and lidar sensor maker Innoviz on AI driving capabilities.

During his wide-ranging 90-minute presentation, Huang discussed agentic AI, autonomous vehicles, robotics and gaming.

Nvidia stock is on seven IBD stock lists: IBD 50, Leaderboard, SwingTrader, Big Cap 20, Sector Leaders, Stock Spotlight and Tech Leaders.

Follow Patrick Seitz on X, formerly Twitter, at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.

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