Nvidia Corp. ( NVDA ) shares climbed 2.58% in pre-market trading on Monday, as per Benzinga Pro. This surge is driven by investor anticipation surrounding CEO Jensen Huang‘s keynote at the CES trade show in Las Vegas.

What Happened: Huang’s presentation is expected to spotlight the eagerly awaited Blackwell chip. Despite robust demand, the chip has encountered supply chain issues due to manufacturing challenges. Investors are eager for any updates that might revitalize interest in Nvidia’s stock, which has stagnated since November, Bloomberg reported on Monday.

Portfolio manager Matt Cioppa from Franklin Templeton Equity Group commented, "The expectation is that Blackwell demand remains very strong."

This sentiment previously boosted Nvidia’s stock, with Huang describing demand as “insane” in October.

Despite a downturn in December, Nvidia’s shares have surged 171% in 2024, significantly aiding the S&P 500 Index’s overall growth. However, the stock faced a setback after a disappointing earnings report in November, resulting in a dip in market value.

As the tech earnings season looms, Nvidia’s valuation remains a concern. Analysts from Morgan Stanley and Mizuho Securities are closely monitoring Huang’s keynote, viewing it as a crucial moment for investor sentiment and the company’s market trajectory.

Why It Matters: Nvidia’s recent rise is not just about the CES keynote. The company’s collaboration with Cerence Inc. to enhance automotive AI has also played a significant role. This partnership, which integrates Nvidia’s AI Enterprise software and DRIVE AGX Orin hardware, has bolstered Nvidia’s market position, driving widespread adoption of its AI chips.

Moreover, Nvidia’s presence at CES 2025 is significant. The company is expected to unveil its latest RTX 50-series products, potentially setting the stage for a strong start to 2025. Nvidia ( NVDA ) has historically used CES to showcase upcoming innovations, and this year’s event could further solidify its standing as a top-performing S&P 500 stock, following a stellar 2024 performance.

Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.

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