Two people familiar with the matter told Reuters that Chinese regulators have given DeepSeek, the country’s leading AI startup, conditional approval to purchase Nvidia’s new H200 artificial intelligence accelerators. The licence is reportedly in the final stages of negotiation, with detailed export-control conditions still being ironed out. Nvidia’s H200 chips power high-performance training clusters and have already been adopted by hyperscalers in North America and Europe. Approval in China would open a market representing roughly 20% of global AI server demand, potentially driving incremental unit shipments that could boost Nvidia’s data-centre revenue growth by up to 5 percentage points in fiscal 2026.

Despite recent share-price volatility, leading investment banks have reiterated strong ratings on Nvidia. Morgan Stanley maintained its ‘Overweight’ view and a 12-month price target implying roughly 40% upside, citing industry surveys showing Nvidia capturing more than 80% of new AI-accelerator orders. Bernstein also upheld its ‘Buy’ rating and a target above the consensus, highlighting expectations for 63% year-over-year revenue growth in fiscal 2026 and forecasting sustained double-digit earnings-per-share expansion through 2028. According to TipRanks data, analysts have issued 41 ‘Buy’ recommendations over the past quarter, reflecting confidence in Nvidia’s unmatched scale in GPUs, AI software stack integration and visibility into multi-year secular growth drivers.