US President Donald Trump and the US government are set to review rules surrounding the export of Nvidia (NVDA) H200 chips to China. A Friday Reuters report revealed that Trump and his administration have begun their review of Nvidia H200 chip exports to China, sparking a rally for chip and semiconductor stocks.
According to Reuters, the US Commerce Department sent license applications for the sale of Nvidia’s advanced chips to the State, Energy, and Defense Departments, which will weigh in on the potential chip exports over the next 30 days. The report also sparked a rally in other chipmakers and chip developers.
Wall Street experts and NVDA investors viewed the news as a sign that Trump would follow through on his promise to allow Nvidia to sell advanced chips to China in exchange for a 25% fee to the government. Should he follow through on the promise, NVDA stock could rally heading into Q1 2026. Nvidia is already on a bullish streak, up 4% in the last five days.
Also Read: Why America Still Outpaces China, Europe, and Asia in Tech Innovation
Additionally, the sales to China and other countries also open up revenue streams for the company. Nvidia’s stock is currently at the $18 price range after declining nearly 5% in a month. It is well below the $200 level, allowing a perfect buying opportunity to traders. Optimism in NVDA has been high for five years for both retail and institutional investors. Hence, Trump’s review of the Nvidia H200 chip exports could be a strong catalyst for the stock come year six.
Furthermore, Nvidia (NVDA) stock has gotten bullish calls on Wall Street in recent weeks. Bernstine has reinstated its outperform rating on Nvidia, adding how the firm may continue to lead the AI tech and chip domain, with its price target eventually scaling to trade at $275 stock levels soon. Even more optimistically, TipRanks’s NVDA forecast suggests Nvidia is looking towards a high of $352, with an average target of $258 in the next few months.