January 24, 2011
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: For the second time in two weeks, shares of chipmaker NVIDIA (Nasdaq: NVDA ) rallied more than 10% after a weekend article in Barron's argued that the stock could rise 80% during 2011.
So what: Color me unsurprised. NVIDIA was one of my four top picks from this month's Consumer Electronics Show (CES), in part because of the wide applicability of its Tegra chipset for tablets and Android smartphones.
Now what: Longer term, NVIDIA has deepened its relationship with ARM Holdings to produce a new CPU for netbooks and Windows desktops. Management's calling the undertaking "Project Denver."
Taking on Intel and Advanced Micro Devices on the desktop no doubt presents risks, but turmoil at AMD may have handed this one-time graphics specialist a surprisingly good opportunity to make a run at the PC market.
Interested in more info on NVIDIA? Add it to your watchlist.