Nvidia fuels rally after investments in AI stocks Arm, SoundHound AI and Recursion Pharmaceuticals
Shares of AI-related names such as Arm, Recursion Pharmaceuticals (RXRX), and SoundHound AI (NASDAQ:SOUN) are rising premarket after it was revealed that a filing from NVIDIA (NVDA) disclosed stakes in the companies.
Nvidia (NASDAQ:NVDA), considered one of the primary winners in the AI boom, disclosed its new stakes in the companies as of December 31 in a filing with the SEC on Wednesday.
Arm is up around 0.1% premarket. However, it initially rose as much as 2.6%. The company gained a $147.3 million investment from Nvidia, which was the largest revealed.
Meanwhile, Recursion Pharmaceuticals, a biotech company in which Nvidia invested almost $76 million, has surged nearly 19% premarket. Last year, Nvidia stated it would make an investment in Recursion to accelerate the training of the biotech company's AI models for drug discovery.
Nvidia also invested $3.7 million in SOUN, an AI voice platform. Its stock has jumped an enormous 73.5% premarket, climbing to its highest level since July 2023. In addition, Nanox (NNOX) is up 51% after Nvidia bought shares in the company, which uses AI software to analyze reports.
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