Nvidia Corporation (NVDA)
H200 Update
U.S. President Donald Trump announced that Nvidia will be allowed to sell its advanced H200 chips to approved customers in China. This decision follows months of geopolitical tension in which Nvidia was restricted from selling its most advanced chips to Beijing, amid growing U.S.–China competition in AI technology. CEO Jensen Huang actively lobbied Washington for the policy change, highlighting the importance of Nvidia’s global business and the U.S. position in AI leadership.
While the previous July policy reversal required Nvidia to pay 15% of its Chinese revenues to the U.S. government, the new approval for selected customers is expected to unlock pent-up demand in the world’s second-largest market for AI and cloud-computing infrastructure. Nvidia’s statement concerning the announcement was applauded, emphasizing its role in supporting high-paying American jobs and domestic manufacturing.
Stock Forecast
Analysts are bullish on Nvidia due to its dominant market share in AI chips and cloud infrastructure. The company is strategically positioned to benefit from accelerating global AI adoption. By resuming controlled chip sales to China, Nvidia mitigates a major geopolitical risk while preserving its leadership in high-performance computing.
As a result, Nvidia’s stock is currently displaying strong upward momentum, supported by institutional buying and renewed optimism surrounding AI-driven growth.
Based on technical analysis, the stock shows a “Strong Buy” signal, reflecting bullish momentum, positive price action, and strong market support levels. Analysts currently have a consensus “Strong Buy” rating on the stock, and a 12-month average price target of $251 per share, indicating significant upside potential from current levels.
Outlook
The resumption of H200 chip sales by the American government to approved Chinese customers, significantly improves Nvidia’s growth outlook and reduces geopolitical uncertainty. Combined with its strong balance sheet, dominant technology position, and accelerating AI demand, the stock continues to offer substantial upside potential with its strong technical and fundamental position.
STA Research (StockTargetAdvisor.com) is a independent Investment Research company that specializes in stock forecasting and analysis with integrated AI, based on our platform stocktargetadvisor.com, EST 2007.
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