Nvidia surges after earnings, lifting leveraged AI ETFs
Nvidia jumped more than 6% in premarket trading after earnings, while leveraged ETFs tied to the stock rose 13% to 14%.
Nvidia Corp’s (NASDAQ: NVDA ) more than 6% premarket surge Thursday is sending leveraged ETFs tied to the AI chip giant sharply higher.
Shares of Nvidia jumped after the company’s earnings, and leveraged products designed to deliver two times the stock’s daily performance moved sharply in response.
Among the funds in focus are the GraniteShares 2x Long NVDA Daily ETF (NASDAQ: NVDL ), Direxion Daily NVDA Bull 2X Shares (NASDAQ: NVDU ), T-Rex 2X Long NVIDIA Daily Target ETF (BATS: NVDX ) and ProShares Ultra NVDA ETF (NYSE: NVDB ).
Each of these funds was trading 13% to 14% higher in pre-market hours.
The moves underscore the increasingly powerful role Nvidia plays not only in the broader AI trade but also in the rapidly expanding market for leveraged single-stock ETFs.
Nvidia’s Move Gets Amplified A roughly 7% gain in NVDA does not automatically translate into an identical 14% gain for every leveraged ETF because pricing, trading hours and fund mechanics can differ.
But the products are designed to magnify Nvidia’s daily moves, putting them squarely in focus when the stock sees an outsized reaction.
That creates a particularly high-stakes trade around earnings.
Nvidia’s results can trigger sharp reversals.
The latest reaction demonstrated that after the stock initially fell following the release before reversing sharply higher in premarket trading.
Historically, Nvidia’s stock price movements right before or after earnings releases have been pretty underwhelming.
For bullish traders, the leveraged ETFs offer a way to increase exposure to Nvidia without directly borrowing on margin.
But the same mechanism works in reverse.
A sudden pullback in NVDA can produce amplified losses, while daily resets and compounding mean that returns over longer periods can differ significantly from simply doubling Nvidia’s performance.
The Earnings Catalyst The move followed another major earnings beat from Nvidia.
The company reported second-quarter revenue of $96.2 billion, above Wall Street expectations of roughly $92.3 billion, while adjusted earnings of $2.22 per share also topped forecasts.
Nvidia then issued third-quarter revenue guidance of $105.8 billion to $110.1 billion, reinforcing CEO Jensen Huang ’s view that AI infrastructure demand remains strong.
The results have revived the Nvidia trade—but they also highlight the growing importance of the leveraged ETF ecosystem built around a single stock.
As Nvidia remains the market’s AI bellwether, products such as NVDL, NVDU, NVDX and NVDB could continue to offer traders an amplified way to play every major twist in the Nvidia story—whether the next move is up or down.
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