Premarket Movers: Nvidia is Still Pushing Aggressively Higher

After gaining $6.85 on Friday, Nvidia (NASDAQ: NVDA | NVDA Price Prediction) is up another $3.25 in premarket.

The tech giant is still riding the AI story, and a recent Barclays upgrade to a buy rating, thanks to the likelihood of more AI spending.

“We are OW as the company has long-term sustainable growth led by a large lead in GPUs for AI in DC, with further Edge opportunities (autos, robots, etc.) and a competitive moat around a large portion of the market,” said the firm, as quoted by CNBC.

Technically, after finding triple bottom support dating back to September, NVDA is now challenging resistance at its 50-day moving average. However, if it can break above that, which could happen today, we’d like to see NVDA retest $200 next.

Plus, despite AI bubble fears, the global AI boom could grow from about $137 billion in 2022 to more than $1.81 trillion by 2030, as noted by Grand View Research.

Advanced Micro Devices

After gaining $12.37 on Friday, Advanced Micro Devices (NASDAQ: AMD) is up another $4 in premarket.  Technically, after finding strong support dating back to late November, AMD is just starting to pivot higher.

From its last traded price of $213.43, we’d like to see it challenge its 50-day moving average at around $239.74. AMD is also just starting to pivot from oversold RSI, MACD, and Williams’ %R. Also fueling upside is optimism following AMD CEO Dr. Lisa Su’s meeting with China’s Commerce Minister, where the two spoke about strengthening cooperation.

On her second day of a China trip, Su exchanged views with MIIT head Li Lecheng on “strengthening cooperation in the digital economy and artificial intelligence sectors, according to a statement issued by MIIT, as reported by the South China Morning Post.

Micron

After an explosive few days on earnings and guidance, Micron (NASDAQ: MU) is up another $10.45 a share in premarket.

While Micron is becoming overbought after breaking above triple top resistance, analysts are arguing for more upside. Analysts at Rosenblatt, for example, have a $500 price target on MU with a buy rating, citing accelerating demand for memory and storage thanks to AI.

As we noted the other day, Micron’s EPS of $4.78 beat by 82 cents. Revenue of $13.64 billion beat by $760 million. Moving forward, the company expects to earn between $8.22 and $8.62 per share, with revenue expected to be between $18.3 billion and $19.1 billion for the second quarter. Analysts were looking for $4.78 per share on revenue of $14.3 billion.

Fueling further upside, Micron says supply-demand issues could create a $100 billion high-bandwidth memory (HBM) market by 2028 – a milestone projected to arrive two years before the company’s previous outlook.