Nvidia stock moved within touching distance of recouping all its losses from the DeepSeek market rout on TuesdayThe company’s shares rose 0.4% to $139.40, closing in on the $142 level where it was trading before the Chinese start-up’s apparently low-cost artificial-intelligence model roiled tech stocks last month.

Nvidia's valuation is built on optimism -- namely, optimism that its revenue and profit can continue to grow at blistering rates for years. The stock currently trades for more than 40 times expected earnings for fiscal 2025.