Nvidia ‘s furious rally is breaking new ground in stock chart analysis that even the dot-com bubble couldn’t pull off, according to BTIG. Strategist Jonathan Krinsky said in a note to clients on Sunday that the chip stock has pulled further ahead of its 200-day moving average than any other leading U.S. company in at least three decades. “NVDA recently traded ~100% above its 200 DMA. Since 1990, the widest spread that any U.S. company has ever traded above its 200 DMA while it was the largest company was 80% by [Cisco] in March ’00, which marked its all-time high. In other words, NVDA is in a league of its own,” the note said. To make another parallel to the dot-com bubble, Cisco also briefly passed Microsoft in market cap in March of 2000, according to Krinsky. Nvidia did the same thing last week. Shares of Nvidia are now up more than 150% year to date, and its market cap is still over $3 trillion despite a Friday slump. Nvidia bulls point to the company’s rapid revenue growth and healthy cash flow and profits as a justification for its rally, though the size of the company and the speed of the move has made many Wall Street pros nervous. “While we fully recognize the fundamentals are much different this time around, in the last five years, NVDA is +4,280% compared to CSCO’s +4,460% gain in the five years leading up to its peak,” the BTIG note said. — CNBC’s Michael Bloom contributed reporting.
