• Nvidia's market value has skyrocketed to $2.27 trillion over the past year, fueled by growing confidence in AI technology.
• Goldman Sachs is forecasting an additional 22% increase in Nvidia's market value.

NVIDIA Corp's (NASDAQ:NVDA) market value has soared to $2.27 trillion in the last year, tripling due to the market's increased trust in AI technology, where Nvidia plays a key role.

Optimism around the company's stock grows as earnings approach, highlighted by a major partnership with Mitre to use a $20 million supercomputer to boost AI for the U.S. government.

This move not only emphasizes Nvidia's crucial role in AI advancement but also strengthens its position in government tech projects, contributing significantly to its growth story.

Despite the tech industry's competitive nature, Nvidia is set to keep its lead. Goldman Sachs' analysts are predicting a further 22% rise in Nvidia's market value.

The stock isn't moving much right now, showing signs of consolidation. After a strong start to the year, the stock price has leveled off, fluctuating between a low of $756 and a high of $974 from early March.

This signals a consolidation phase, which often happens after big price moves as the market adjusts and gets ready for possibly another climb. There are clear signs of buyer exhaustion following the sharp rise, but there's still some momentum that might push the stock higher again.

If the price goes over the March high of $756, it will face a big psychological hurdle at the $1000 level, which could either act as a strong resistance or mark the start of another growth phase, depending on how the market and investors react.

After the closing bell on Thursday, May 9, the stock closed at $887.47, trading down by 1.82%.

This article is from an unpaid external contributor. It does not represent Benzinga's reporting and has not been edited for content or accuracy.