Nvidia H200 GPU Rental Prices Drop 40%, Raising Concerns for NVDA Stock

Nvidia's H200 GPU rental prices have plummeted by approximately 40% in just three weeks, falling from $7 to about $4 per hour, according to BeInCrypto. This significant price drop is challenging the narrative of AI scarcity and increasing short-term risks for Nvidia's stock, which closed at $214.25 on May 28. The decline in rental prices for the H200, a key asset in the tech industry, is attributed to the generational transition to newer chips like the Blackwell B200 and GB200. Despite this, Wall Street analysts remain optimistic, with Wedbush's Dan Ives maintaining an Outperform rating and a $300 target for Nvidia, citing the ongoing AI capital expenditure boom.