Nvidia (NASDAQ:NVDA) popped after Morgan Stanley shared some encouraging April numbers from Taiwan’s ODMs: about 1,500 GB200 racks shipped across three big builders, right in line with their own forecasts.
That matters because GB200 is Nvidia’s next-gen Hopper GPU gear, and how many racks hit the road tells us a lot about enterprise AI demand and whether supply is finally catching up.
Morgan Stanley’s Joseph Moore points out that with roughly 2,500 racks shipped through April, keeping that 1,500-a-month pace would get you to about 15,000 racks this yeareven if nothing improvesso fears of low volumes should melt away.
Moore, who still has an Overweight rating on NVDA, thinks shipments could climb even higher as factories ramp up. He notes that April’s numbers matching Morgan Stanley’s internal model takes any concern about lower rack counts off the table and shows Nvidia isn’t piling up unwanted inventory.
Adding weight to the bullish case, industry checks reveal CoreWeave (NASDAQ:CRWV) and xAI have requested HGX B200 rack builds in the 4864 GPU range, signaling real appetite from cloud players. All in all, seeing these bottlenecks ease should give investors more confidence in Nvidia’s AI-driven growth story.
This article first appeared on GuruFocus.
