As Nvidia Acquires SchedMD, Should You Buy, Sell, or Hold NVDA Stock?

Core Insights - Nvidia has acquired SchedMD, a software company specializing in open-source workload management for high-performance computing and AI, indicating a deeper investment in the AI software stack [1] - SchedMD's Slurm is the leading job scheduler for high-performance computing clusters, enhancing efficiency and cost control by allowing thousands of computers to operate as a single system [2] - The acquisition emphasizes the growing significance of software in Nvidia's strategy, reinforcing its proprietary CUDA platform, which is widely used by developers [4] Company Overview - Nvidia, headquartered in Santa Clara, California, is a leader in graphics processors and accelerated computing platforms, with a market capitalization of nearly $4.4 trillion [5] - The company's technology is foundational for gaming, data centers, and AI, forming critical infrastructure for cloud computing and enterprise-scale innovation [5] Stock Performance - Nvidia's stock has increased by 36% over the past 52 weeks and 28% in the last six months, outperforming the Roundhill Magnificent Seven ETF (MAGS), which rose about 21% and 28% in the same periods [6] - The stock trades at 41 times forward earnings and 33.7 times sales, which are above industry averages, yet the forward earnings multiple is below Nvidia's own five-year average, suggesting a relative discount despite strong growth visibility [7]