Shares of Nvidia ticked higher by 0.4% in premarket activity Friday, reaching $2,261.13 and continuing a positive trend that has delivered an 11% monthly gain for NVDA. The momentum received a boost from a freshly announced collaboration with South Korea’s LG Group focused on humanoid robotics development.
Under the terms of their signed memorandum of understanding, the partners will jointly engineer an advanced bipedal humanoid robot. LG has set a target launch window of Q1 2027 for the robot, which will be powered by Nvidia’s Isaac GR00T foundational model paired with the Jetson Thor computing architecture.
The collaboration between LG and Nvidia extends beyond humanoid robotics to include wheeled robotic systems and an advanced computing platform designed for automotive applications.
“The defining opportunity of physical AI is to give every machine the ability to understand the real world, reason and act safely alongside people,” said CEO Jensen Huang.
The LG announcement builds on a previously revealed partnership with Chinese firm Unitree aimed at advancing humanoid robot technology. Huang has characterized the humanoid robotics sector as representing a “multitrillion-dollar economic opportunity.”
The robotics expansion complements already impressive financial performance. During its latest reporting period, Nvidia delivered revenue totaling $81.61 billion, reflecting an 85.2% year-over-year increase that exceeded the consensus forecast of $78.42 billion. The company’s earnings per share reached $1.87, surpassing analyst expectations of $1.76.
The company’s board has greenlit an $80 billion stock repurchase authorization. Additionally, Nvidia increased its quarterly dividend distribution to $0.25 per share, a substantial rise from the prior $0.01 level.
Analyst opinions remain overwhelmingly favorable. NVDA currently receives three Strong Buy ratings, 48 Buy ratings, and only two Hold ratings. The consensus price target stands at $305.94.
JPMorgan elevated its price objective to $280 while maintaining an Overweight stance. Citic Securities pushed its target up to $315. Robert W. Baird established a $500 price target accompanied by an Outperform rating.
Some market observers have voiced caution. Notable investor Michael Burry has highlighted concerns regarding circular financing patterns, suggesting potential risk in the interconnected relationships between Nvidia’s investment activities, customer capital, and GPU sales.
Even CEO Huang acknowledged geopolitical challenges, noting that a potential migration of Chinese AI computing workloads to Huawei’s hardware platforms could undermine American semiconductor leadership.
Institutional ownership of NVDA stands at 65.27%. Hobart Private Capital reduced its holdings by 6.7% during Q2, divesting 2,729 shares while maintaining 38,304 shares valued at approximately $7.7 million.
NVDA began trading Friday at $225.30, operating within a 12-month range of $164.07 to $236.54. The stock’s 50-day moving average is positioned at $205.74.
Bank of America has highlighted Nvidia as a primary beneficiary of the growing AI semiconductor market, while Wells Fargo confirmed its Overweight rating in anticipation of upcoming earnings results.
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