Nvidia has almost recovered all of its DeepSeek losses

A whopping $593 billion worth of market capitalization was wiped from Nvidia in a single day in January, as doubt turned to fear and fear turned to panic over the sudden emergence of Chinese AI chatbot DeepSeek, which appeared to threaten the soaring demand for semis and chips to power the AI revolution. Now, almost all of that value has been restored.

At the time of writing, shares in Nvidia are changing hands for $141 and change in premarket trading, as investors bid up the company’s stock after the Presidents Day weekend. That’s just ~1% below the $142.62 closing price the day before the “DeepSeek freak” took hold, and ~5% below the stock’s record closing price of $149.43 (January 6, 2025).

Last week, the chip designer reclaimed its 50-day moving average for the first time since suffering those mammoth losses, as corporate earnings have showed that Big Tech still plans to spend hundreds of billions on high-powered chips this year.

The company’s earnings are expected on February 26 after the market close. Analysts are expecting the company’s rampant growth to continue, with sales expected to come in at $37.97 billion, up 72% on last year’s haul. EPS is expected to print $0.84.