The Nvidia juggernaut continues as the artificial intelligence giant looks to topple Apple and take on Microsoft for supremacy in terms of market capitalization. And as Nvidia stock hits yet another record high, it joins semiconductor powerhouses Taiwan Semiconductor and Advanced Micro Devices on IBD Leaderboard as they etch new buy zones.
Top drugmakers Eli Lilly and Novo Nordisk also make this list of top growth stocks. Eli Lilly now trades near the top of its buy range. Novo Nordisk just popped past a 137.22 buy point in a cup with handle. NVO stock remains in buy range as its relative strength line rises.
Meanwhile, fellow IBD Leaderboard members Cava Group and First Solar look to build on already impressive runs.
Cava stock showed resilience last week as it shook off an initial post-earning drop to rebound to new highs. The stock has since come off those highs and is down again this week. In May, Brett Schulman, CEO of the Mediterranean-food restaurant, was featured in the IBD Leaders & Success column.
First Solar has blasted out to new-high ground from a May 22 breakout as its relative strength line soared. The stock rocketed nearly 19% that day as solar stocks rallied. Since then, First Solar has added to those gains, although it reversed lower off Monday's highs and slipped again on early Tuesday.
Nvidia Stock Battles Apple, Microsoft For Supremacy
At just over $3 trillion, Microsoft currently leads the Magnificent Seven stocks, indeed all U.S.-traded companies, in terms of market capitalization. Looking to join the $3 trillion club, Apple stock holds the No. 2 spot with a market cap of $2.98 trillion.
With a market cap of $2.89 trillion, Nvidia aims to surpass Apple and maybe even Microsoft soon. Nvidia CEO Jensen Huang just announced plans for new artificial intelligence accelerator chips that may help make that happen.
Also, on the fiscal Q1 earnings call on May 22, Huang said Nvidia will design new chips annually. It traditionally produced new platforms every two years.
AMD, Taiwan Semiconductor Craft New Buy Points
Not to be outdone by Nvidia, AMD CEO Lisa Su on Monday also gave the company's AI roadmap for the next two years.
Earning a spot on the IBD Leaderboard watchlist, AMD stock is forming a deep cup pattern. No early buy points are visible at the moment. AMD trying to cling to support at its 10-week moving average. That benchmark line has been in a downward slope since the stock began pulling back from the all-time high it hit in March. The relative strength line has also slumped.
Taiwan Semiconductor remains in buy range, although its position in IBD Leaderboard was recently trimmed by half as the stock tested support at its 21-day exponential moving average. On May 31, the chip industry giant also tested — successfully — the 148.43 entry in a double-bottom pattern that it initially cleared on May 10.
The same day, Taiwan Semiconductor was featured in the IBD Stock Analysis as the kingmaker behind Nvidia's AI reign.
Eli Lilly, Novo Nordisk In Focus
After unveiling promising results for its Crohn's disease treatment in May, Eli Lilly rocketed and broke out.
The IBD Leaderboard team raised its exposure in Eli Lilly by a quarter as shares cleared a double-bottom entry May 21 in heavy volume. In a sign of market leadership, the stock's relative strength line has turned higher.
Eli Lilly stock previously passed the 20% profit goal from a flat-base entry of 469.87 in addition to a flat base that formed later in 2023 and delivered a 629.97 entry.
Fellow drugmaker Novo Nordisk completed and cleared the buy point in its handle. The new base is late stage, which poses a risk. Now ticking higher, look for the relative strength line to make a new 52-week high.
Follow Matthew Galgani on X (formerly Twitter) at @IBD_MGalgani.
