Nvidia stock rocketed nearly 8% in Thursday’s trades, smashing past $1020 per share after a blowout earnings report. This market expert says the semiconductor supergiant could still have more room to run.

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“I say it’s the most important company in the world, as far as innovation,” Jim Roppel, founder of The Roppel Report, told Investor’s Business Daily’s “Investing with IBD” podcast. He says Nvidia (NVDA) has managed to leapfrog from one tech trend to another, beginning with video games, then moving to things like automotive applications and now generative AI.

Nvidia stock is breaking out of a stage two consolidation that lasted for 53 days with a 22% depth according to MarketSurge. The stock is No. 1 in the Electronics-Semiconductor Fabless group and holds a Composite Rating of 99 according to IBD Research.

Audio Version Of Podcast Episode

Generative AI could be Nvidia stock’s biggest driver yet, Roppel said. “If Cisco (CSCO) went from six cents to $65 off a revolution in innovation, Nvidia has way [more to climb],” Roppel said. “You can’t start counting from the day Nvidia came public, you have to start counting from the day AI was relevant to their earnings.”

Nvidia Stock Lifts Semiconductor Space

Nvidia’s success has lifted the semiconductor sector as a whole, Roppel says. He noted how the VanEck Semiconductor (SMH) ETF is seeing a 53-day consolidation in its chart pattern, with Nvidia earnings pushing the ETF comfortably into its pivot point. The ETF began consolidating in early March, with a 17% depth.

“When I see bases like that and then the digestion, and it comes out again, we’re set up here for a whole ‘nother run,” said Roppel.

Nvidia Stock’s Potential Impact On the Economy

While consumers may be struggling, Roppel notes that technological innovation and the efficiency it introduces will likely have a deflationary effect on the market. “The major innovation cycle is healthy and thriving.” he said.

“I really think this golden goose is ripping,” he said. “The golden goose is working overtime here.”

Watch this week’s podcast featuring Jim Roppel to learn why the golden goose is running loose.

Follow Mike Juang on X at @mikejuangnews and on Threads at @namedvillage.

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