That’s why Nvidia shares are rising this week by Investing.com

Investing.com — Shares of Nvidia (NASDAQ: ) rose 5%, adding $13 billion to its market cap, and they think that’s due to a surprising cause, Mizuho analysts said in a note on Wednesday.

The rally came after a news report that CEO Jensen Huang had completed his stock sale, marking the completion of a plan he initiated earlier in the year, according to the company.

Mizuho notes that while Nvidia stock rose sharply, there was no substantial news about the company’s demand, margins or highly anticipated Blackwell chips that could have triggered the rally.

Mizuho said this type of insider selling “never comes up” as a concern for institutional investors.

Analysts noted that retail investors and quant traders likely used the story as a reason to buy, sending Nvidia stock higher. They explain that the rapid growth highlights the role that retailers play in share price action, with Mizuho commenting, “It doesn’t take much to create excitement in NVDA.”

Mizuho also addressed broader investor concerns about Nvidia’s long-term growth, particularly around AI capital spending.

Many buy-side investors are questioning whether AI investments in 2026 will be enough to drive Nvidia’s revenue beyond its projected 21% growth for the year.

However, Mizuho notes that a recent report by Bain Consulting suggests that the market for AI-related products could grow to nearly $1 trillion by 2027, with AI services and hardware expected to grow by 40-55% annually . The firm believes this forecast could ease investor concerns about the sustainability of AI spending well beyond 2025.

Mizuho’s analysis concludes that Nvidia remains well-positioned for long-term growth, especially given the optimism surrounding AI investments as companies like Microsoft (NASDAQ: ) continue to increase spending on data center infrastructure for AI development.