The share price of Nvidia is set to open higher on Thursday, following the positive sentiment after lawmakers in the United States chose not to include a proposal that would have restricted the company’s ability to export advanced AI chips to China.
Its pre-market price showed a small uptick of 0.35% to $180.20 after a 1.03% drop yesterday. This could send a positive signal to Depositary Receipt (DR) of Nvidia listed in the Thai stock market. Several Nvidia DRs have been issued such as NVDA01 from Bualuang Securities and NVDA80 from KTB.
Last month, Krungthai XSpring Securities issued an analysis paper after Nvidia reported its earnings. The firm noted that overall revenue surged 62% YoY, with improving margin trend, while citing CEO Jensen Huang that Blackwell sales exceeded expectations and demand continues to outpace production capacity. The firm maintained a positive outlook for NVDA’s performance, anticipating both revenue and margin expansion QoQ after a full quarter of Blackwell sales. Thus, KTX maintained a “BUY” recommendation with a target price of USD 238.07 and its NVDA80 at THB 38.25 per share.
As for the positive sentiment surrounding Nvidia, the proposed measure, known as the Guaranteeing Access and Innovation for National Artificial Intelligence (GAIN AI) Act, aimed to mandate semiconductor manufacturers—such as Nvidia and Advanced Micro Devices Inc.—to prioritize American purchasers for their high-performance AI chips before making them available to countries under US arms embargoes.
The act was under consideration to be part of this year’s annual defense bill, scheduled for release this Friday. However, the source noted that the provision does not appear in the current version of the bill, though the legislative landscape could still shift unexpectedly.
Nvidia’s apparent win follows a contentious lobbying effort that saw the company and others in the sector contesting AI safety groups and lawmakers with a tougher stance on China. Nvidia maintained that the legislation would put US producers at a disadvantage in the global marketplace, and emphasized that American customers would not face shortages of its most advanced chip technology.
The debate has gained urgency as the Trump Administration reviews export controls for the H200, a state-of-the-art Nvidia AI chip that is reportedly significantly ahead of any Chinese alternatives and subject to licensing requirements at the moment.
Additionally, President Donald Trump, while previously expressing openness to allowing exports of a downgraded version of Nvidia’s Blackwell chip, faces opposition from key Cabinet officials regarding any such move.
However, Nvidia’s CEO Jensen Huang highlighted that he was unsure whether the Chinese market would still want the H200 due to the model being outdated.
Also, the overall tech stocks were pressured by a drop of 2.5% in Microsoft after a report of lower-than-expected AI software sales. The company later pushed back at the report, denying that its salespeople missed those goals in the last fiscal year and that the company has lowered its growth targets for artificial intelligence software sales. Microsoft’s pre-market for Thursday also ticked 0.24% higher.
