That may sound surprising. After all, everyone from tech companies like Tesla Motors Inc. (TSLA) , Lyft and Uber to automakers like Ford Motor Co. (F) to major universities all have teams working around the clock on the problem. What makes Nvidia special?
Simple -- its chips touch pretty much every major autonomous driving program on the planet.
Nvidia is already partnered with companies like Tesla, Uber and Mercedes-Benz to crack the code for self-driving cars. And its DRIVE development platform is designed to help automakers and suppliers accelerate their progress with self-driving vehicles, thanks to high powered chips and built-in software libraries for autonomous driving.
More broadly, Nvidia is the leading chipmaker in the artificial intelligence space, thanks mainly to the fact that the firm's CUDA parallel computing API has been embraced by major deep-learning toolkits from day one. As the AI revolution powers forward, that puts Nvidia in prime position to continue to see huge demand going forward.
It's clear at this point that driverless cars are coming, one way or another. And, likewise, Nvidia stands to benefit from the trend, one way or another.
The good news for investors is that, despite a roaring rally in the last couple of years, Nvidia still looks like it could have more upside ahead of it. To figure out this stock's trajectory, we're turning to the chart for a technical look.
Nvidia has spent most of 2018 forming a bullish continuation setup called an ascending triangle pattern. Simply put, this price pattern signals the likelihood for more upside ahead after this stock's bull run since last summer.
The pattern is formed by horizontal resistance up above shares at the $250 level, with uptrending support to the downside. Simply put, as Nvidia's share price has pinballed in between those two technically important price levels, shares have been getting squeezed closer and closer to a breakout above the $250 level, a move that signals buyers are still very much in control of the price action.
That's confirmed by relative strength, the side-indicator down at the bottom of Nvidia's price chart. This stock's relative strength gauge has been in an uptrend of its own since last summer, signaling that shares aren't just moving higher here -- they're systematically outperforming the rest of the broad market right now.
Look for a bounce higher here at support, followed by another test of the $250 level. A substantive bounce this week looks like a great opportunity to build a starter position in shares, with a $250 breakout warranting scaling into a full-sized position in Nvidia.