Quick Read

• Nvidia (NVDA) announced a $1 trillion Blackwell and Rubin backlog and revealed plans to integrate Groq’s language processing unit technology into its Vera Rubin platform to expand its competitive moat in inference computing. The stock remains consolidating in the $175-190 range despite these major product announcements, with a trailing P/E multiple compressed below 22.0 times.
• Mega-cap tech stocks and AI trades have entered a tough phase with investors showing only mild reactions to major positive developments, creating potential opportunities as investors await clearer signals on whether AI represents sustainable growth or a bubble.
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It’s been a very eventful first few months for Nvidia (NASDAQ:NVDA | NVDA Price Prediction), but not so much for the stock, which is still consolidating in the $175-190 range. Undoubtedly, it feels like nothing short of a profound breakthrough could nudge shares of Nvidia out of their sidelines channel. Arguably, the company has had more than its fair share of breakthrough innovations going on behind the scenes. This year’s GTC conference was pretty packed with intriguing announcements and demos.

For now, though, it’s hard to tell when the stock will have a sustained positive reaction rather than a mild one. Of course, the GPU titan remains in the right spot as the AI revolution evolves and everyday consumers think about AI as more than just a large language model (LLM). Personally, I think the broader mega-cap tech (think the Mag Seven) has effectively gone to sleep. And even massive positive developments might not have much of an effect, at least until the group wakes up.

The AI trades have gone to sleep. Who knows for how long

For now, it’s hard to tell when they’ll come out of hibernation. Certainly, a year-long sleeper could be in the cards. For the bears, perhaps a lengthier one as well as a vicious correction (or AI bubble bursting) might also be in the cards.

Personally, I think we’ve already had quite a correction within mega-cap tech and AI. And as investors have mild reactions to major positive developments, I do think there might be an opportunity to get said developments “for free,” so to speak. In any case, it’s hard to tell how a new piece of tech changes the world (or doesn’t), and what the implications will be for the bottom line.

As investors and analysts bring their magnifying glasses to the bottom line at any given quarter (who can blame them after the CapEx surge? In essence, it’s a way to keep a boom in check before it has a chance to turn bubbly), perhaps there’s a risk that investors might miss the ever-improving growth narrative, which may justify a much higher multiple than is currently being paid.

Of course, there’s risk on both sides right now when it comes to the leading AI stocks, like Nvidia. In my view, it might not take long before the stock experiences its next leg, whether it’s higher or lower, as signs across the scene point to AI being in (or not) a bubble.

Why GTC probably should have been a boon for the stock

With the big $1 trillion Blackwell and Rubin backlog announcement (it seems more like a base case than a bull case, in my view) and a slew of other intriguing moves, I do think the growth narrative on the company has become far more impressive than back in August 2025, right before Nvidia stock entered a sideways channel.

Along the way, the trailing price-to-earnings (P/E) multiple has compressed below 22.0 times. Either Nvidia stock is a generational bargain, or there’s a bit of a cliff coming, perhaps a little further out than what many are projecting right now. If you’re a believer in Jensen Huang, perhaps it makes the most sense to stay the course. After all, the man has not pulled punches when it comes to his views of where the technology is headed.

Perhaps the most compelling takeaway was how the coming Vera Rubin platform will integrate Groq’s impressive LPU (language processing unit) technology. In short, the Groq deal isn’t just another circular deal to hedge one’s bets. In my view, the move is one that’s allowing it to widen its moat, or add alligators to it, so to speak. Either way, Nvidia seems to be leading the charge as inference reaches an inflection point. And that should have investors more upbeat on the stock, at least in my view, especially as the market seemingly looks the other way.

In addition to the details on integrating Groq, Nvidia showed it’s also serious about grabbing the agentic AI opportunity by the claw with its intriguing NemoClaw stack. Indeed, it’ll be interesting to see how markets digest the GTC developments in the coming months. Either way, my belief is that investors are willing to put that off until the selling pressure in tech exhausts.

https://247wallst.com/investing/2026/03/24/nvidias-gtc-developments-were-far-bigger-than-the-market-realizes/