Nvidia stock experienced a rise on Thursday, building on significant gains from the previous day following the U.S. presidential election results. Analysts at Mizuho continue to regard Nvidia as a leading player in the semiconductor industry, with shares climbing 1.8% to $148.20 after a 4.1% increase on Wednesday’s trading session.

Despite potential impacts from Donald Trump’s presidency, including concerns over Taiwan’s defense payments and its effect on Nvidia’s supply chain due to reliance on Taiwan Semiconductor Manufacturing, analysts believe that these factors will not derail Nvidia’s growth trajectory significantly.

The spotlight remains firmly placed on Nvidia’s strong fundamentals as it leads in supplying chips for artificial intelligence applications—a sector expected to see substantial market penetration in coming years. Mizuho analyst Vijay Rakesh highlighted an expectation for AI server penetration rates exceeding 10% by 2027 compared to approximately 1% this year and emphasized that Nvidia commands over a 95% share of this rapidly expanding market projected to reach more than $400 billion by then. In addition, other semiconductor companies like Advanced Micro Devices and Broadcom saw modest gains of about 2%, reflecting overall positive sentiment within the sector during early trading hours.