Nvidia CEO Jensen Huang stated that Beijing will not set a limit on how many H200 chips the company can sell in China. Instead, sales will be determined by individual purchase orders, leading to uncertainty in revenue for Nvidia. The chipmaker reported a 22% increase in revenue to $57 billion in Q3, with net income up 21% to $31.9 billion. However, Nvidia faces increased competition from customers like Alphabet, Amazon, and Microsoft developing their own AI chips. The stock’s forward P/E ratio is 41.7x, with analysts expecting EPS to rise 51% this year and 57% next year. Until clarity emerges, Nvidia stock is recommended for holding, not buying.

Read more at Barchart: Worried About Nvidia’s China Business? CEO Jensen Huang Says This Is the Top Indicator to Watch.