Despite its hefty market cap, Nvidia still trades at a reasonable forward P/E ratio, just 45 times full-year earnings estimates. Wall Street analysts currently anticipate Nvidia's earnings growing by an average of almost 33% annually over the next three to five years. That is plenty of growth to justify owning the stock at these levels.

OpenAI’s $1T IPO could fuel its shift from Nvidia’s pricey GPUs toward efficient, self-powered AI infrastructure and industrial autonomy.

On Monday, Amazon announced a partnership that will allow OpenAI to use the company’s cloud computing services to run AI systems for products like the popular ChatGPT. OpenAI is paying $38 billion to access Amazon Web Services (AWS) servers and “hundreds of thousands of state-of-the-art NVIDIA GPUs.”

Both companies were back at it on Tuesday, announcing deals that once again added billions in value to public companies.

Amazon Web Services (AWS) and OpenAI ink new $38 billion deal to host OpenAI's new NVIDIA GB200 and GB300 AI servers to be deployed in 2026.

A wave of deals and partnerships are escalating concerns that the trillion-dollar AI boom is being propped up by interconnected business transactions.

Wall Street is looking to keep up a rally that raged throughout October, when investors piled into growth and AI-linked names, with Big Tech and the "Magnificent Seven" leading market moves. Optimism around easing US-China trade tensions also fueled gains.

OpenAI and Amazon have signed a multi-year agreement worth $38 billion under which the ecommerce giant will provide the ChatGPT maker access to hundreds of thousands of Nvidia processors to train and run its artificial intelligence models.