Nvidia’s stock has nearly recovered from the losses suffered due to the launch of DeepSeek’s low-cost AI model. The South Korean government’s announcement to acquire 10,000 GPUs from Nvidia and the launch of Elon Musk’s Grok 3 AI model have helped boost investor confidence.
On Tuesday, February 18, 2025, Nvidia Corporation Common Stock closed at $139.40 on the Nasdaq, marking a 0.40% increase from the previous session. Before DeepSeek’s AI model launch, Nvidia shares were trading at $142 per share, but following the announcement, they plummeted 17% on January 27, wiping nearly $600 billion from the company’s market capitalization—the largest single-day loss in U.S. history.
However, momentum has shifted in Nvidia’s favor. The South Korean government plans to build a national AI computing center and has committed to purchasing 10,000 GPUs, including Nvidia’s H100 and H200 models, according to South Korea’s Yonhap News Agency. Acting President Choi Sang-mok made the announcement on Monday, emphasizing South Korea’s goal of becoming one of the world’s top three AI powerhouses.
Meanwhile, a UBS research note by analyst Timothy Arcuri highlighted the strong demand for cloud-based GPUs, stating that pricing for Nvidia’s Hopper instances remains resilient amid growing AI adoption.
