Nvidia Stakes 9.3 Percent in Nebius

Artificial intelligence leader Nvidia has disclosed a massive 9.3 percent stake in AI cloud company Nebius, sending stock prices for both firms climbing on Tuesday. A recent filing with the Securities and Exchange Commission shows that Nvidia increased its investment by more than $3.8 billion. Nvidia now holds roughly 22 million shares of Nebius, making it a major holding in its portfolio.

The massive vote of confidence from Nvidia comes after CEO Jensen Huang praised Nebius as a top tier cloud provider during a recent keynote address. Nebius shares jumped by as much as 17.5 percent following the news, while Nvidia stock gained 2 percent. Shares of Nebius have now surged roughly 150 percent this year alone as demand for artificial intelligence infrastructure continues to grow.

The investment also lifted other names in the artificial intelligence and semiconductor sector. Rival cloud firm Coreweave saw its stock rise more than 7 percent on the day. Traders should watch how this deepening partnership impacts competition with other chip giants like AMD and TSMC as the artificial intelligence race heats up.