Nvidia's AI chip sales in China boost near-term outlook, but geopolitical risks cast doubts on long-term growth. Click to read more on NVDA's Hold rating.

Nvidia ( NVDA -0.42%) stock has returned 29% this year, and its market value currently stands at $4.2 trillion. Meanwhile, Palantir ( PLTR -0.34%) shares have advanced 104%, and its market value currently stands at $360 billion. That brings their collective valuation to $4.5 trillion.

(Reuters) -Nvidia has told its Chinese customers it has limited supplies of H20 chips, the most powerful AI chip it had been allowed to sell to China under U.S. export restrictions, and that it doesn't plan to restart production, The Information reported on Saturday.

NVIDIA Corporation (NASDAQ:NVDA) is one of the AI Stocks Investors Are Watching Closely. On July 16, Needham analyst Rajvindra Gill raised the price target on the stock to $200 from $16.

NVIDIA's beefed-up GB300 'Blackwell Ultra' AI servers are now in production, will begin shipping in September, with 'no major issues' at this stage.

The federal government’s past restrictions on AI chip sales inside China were easily the biggest threat to American preeminence in the AI space.

At the Beijing Expo, Jensen Huang also announced plans for a new chip for Chinese clients that is designed for robotics and smart factories.

AI-related stocks have delivered explosive gains for the past two and a half years. Nvidia (NASDAQ:NVDA) turned its GPUs into the picks and shovels of the new gold rush and became the planet’s most valuable company.