Nvidia Corp. (NASDAQ:NVDA) shares are trading lower on Tuesday as futures point lower and traders continue to digest Monday’s announcement regarding the company’s push to lock in long-duration AI data-center capacity tied to OpenAI.

Tuesday’s drop is likely due to rising geopolitical tensions, as broader markets react to news today that President Trump has ruled out extending a temporary ceasefire agreement with Iran.

What Is Nvidia’s AI Strategy and Its Impact?

Nvidia is extending its AI strategy beyond chips by partnering with SB Energy to secure land, power, and building capacity at the PORTS-Pike Technology Campus in Pike County, Ohio, with OpenAI set to use the site under a 20-year lease.

The initial deployment targets 4.25 gigawatts of AI computing capacity using Nvidia GPUs, CPUs, networking and software, with an option for another 3.75 gigawatts.

The company also plans to invest $1.5 billion in SB Energy, while estimating each generation deployed at the site could involve about 1.5 million Nvidia GPUs and translate into roughly $150 billion to $200 billion of revenue per generation.

"AI is becoming infrastructure, the foundation for intelligence in every industry and land, power and shell have become vital in the age of AI,” stated Nvidia founder and CEO Jensen Huang. “Now is the time to scale the AI infrastructure that will power the next industrial revolution”.

Nvidia Stock: Key Levels and Momentum Analysis

From a trend perspective, Nvidia is still in a constructive longer-term posture: the stock is trading above its 20-day, 50-day, 100-day, and 200-day moving averages, and the 20-day SMA is above the 50-day SMA while the 50-day SMA is above the 200-day SMA (a bullish alignment). That said, with price not far from the 52-week high zone, dips can turn into "buy-the-pullback" tests where bulls want to see support hold without a deeper reset.

MACD is the cleaner momentum lens here: it’s above its signal line and the histogram is positive, which points to improving momentum versus the prior downswing even if the stock chops around near-term. In plain English, MACD above the signal line suggests downside pressure is easing, and buyers are regaining some control.

  • Key Resistance: $232.50 — a nearby ceiling near the upper end of the recent range and not far from the 52-week high ($236.54)
  • Key Support: $190.00 — a key "line in the sand" area that sits below the 200-day SMA ($195.04), where longer-term buyers often look for the trend to defend

Nvidia Earnings Preview: What Analysts Expect

The countdown is on: Nvidia Corp is set to report earnings on August 26.

  • EPS Estimate: $2.07 (Up from $1.04 YoY)
  • Revenue Estimate: $91.91 Billion (Up from $46.74 Billion YoY)
  • Valuation: P/E of 34.5x (Indicates premium valuation relative to peers)

Analyst Consensus & Recent Actions: The stock carries a Buy rating with an average price forecast of $325.74. Recent analyst moves include:

  • Wells Fargo: Overweight (Maintains Target to $315.00) (Aug. 11)
  • Keybanc: Overweight (Raises Target to $330.00) (July 14)
  • China Renaissance: Initiated with Buy (Target $319.00) (June 5)

Nvidia Benzinga Edge Rankings: Strengths and Weaknesses

Below is the Benzinga Edge scorecard for Nvidia, highlighting its strengths and weaknesses compared to the broader market:

  • Momentum: Neutral (Score: 69.9) — The trend is constructive, but the stock can still see sharp pullbacks when risk appetite cools.
  • Quality: Bullish (Score: 97.63) — The scorecard flags strong underlying business quality versus the broader market.
  • Value: Weak (Score: 5.71) — The market is pricing in a lot of future growth, leaving less room for error on expectations.
  • Growth: Bullish (Score: 99.21) — Nvidia screens as a top-tier growth name, consistent with the AI infrastructure buildout narrative.

The Verdict: Nvidia’s Benzinga Edge signal reveals a growth-and-quality-led profile with only moderate momentum and a clearly expensive valuation backdrop. For longer-term bulls, that often means pullbacks matter: the trend can stay intact, but entries tend to work best when support levels hold, and expectations don’t get ahead of execution.

NVDA Shares Edge Lower Tuesday Morning

NVDA Price Action: Nvidia shares were down 2.25% at $219.95 at the time of publication on Tuesday, according to Benzinga Pro data.

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