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Nvidia's stock hit a record high on Wednesday.
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CEO Jensen Huang's comments on AI and robotics growth boosted investor confidence.
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US export restrictions to China will impact Nvidia's revenue, the company said.
Nvidia reclinched its title as the world's most valuable company for a second time this month.
The AI chipmaker's shares rose more than 4% on Wednesday, closing at a record high for the first time since January, following CEO Jensen Huang's remarks at Nvidia's annual investor meeting.
Nvidia's stock closed at $154.31 on Wednesday, exceeding its prior closing high of $149.43 on January 6. Nvidia is now worth $3.77 trillion, just ahead of Microsoft, which is worth $3.66 trillion, and Apple, at $3.01 trillion.
Huang's comments on growth areas for the company boosted investor confidence.
“We have many growth opportunities across our company, with AI and robotics the two largest, representing a multitrillion-dollar growth opportunity,” Huang said.
He added that autonomous vehicles, which will be the first commercial application of robotics, are a big focus for the company.
“Nvidia Drive platform is powering the transition to software-defined vehicles and providing the immense computational horsepower required for self-driving capabilities,” he said at the meeting.
Huang's comments on AI growth quelled investor concerns about the company not being able to sell to China because of the US's export restrictions.
Nvidia said last month that it expects to lose about $8 billion in second-quarter revenue due to the loss of sales of H20 chips.
In April, President Donald Trump's administration issued new rules that stopped Nvidia from selling its H20 AI processor to China.
On last month's earnings call, Huang doubled down on his previous comments that export restrictions to China have been a “failure.“
“The export control gave them the spirit, the energy, and the government support to accelerate their development. So I think, all in all, the export control is a failure,” Huang said last month about Chinese tech companies.
Nvidia reported $17.1 billion in revenue from China for its last fiscal year, or 13.1% of its total revenue. Revenue from China increased 66% from the year before.
The chipmaker's stock is up almost 15% so far this year.
Read the original article on Business Insider
