Chip manufacturer Nvidia’s shares have recovered losses in the process that started with DeepSeek. The company’s shares have risen by 26 percent since February. Analysts noted that investors are beginning to believe that the threat from China is being exaggerated. American chip maker Nvidia has recovered a significant portion of its losses in the sales frenzy initiated by Chinese artificial intelligence DeepSeek. Nvidia’s shares rose close to 1% yesterday to $139.40. This brought NVDA shares to their highest level in four weeks. The chip maker’s shares peaked at $153 on January 10. Expectations that DeepSeek’s low-cost artificial intelligence would require fewer chips increased. This led to a sharp sell-off at Nvidia, falling to $113 on February 3. After the purchases from this level, Nvidia started to recover and is approaching the peak again. The company’s shares recorded a 26% increase between February 3 and March 18. Analysts noted that investors are starting to believe that the threat of artificial intelligence coming from China is exaggerated. Bank of America (BofA) updated its target price for the company’s shares to $190, pointing out new plans to increase artificial intelligence spending. The European Commission announced that it will invest 200 billion euros in artificial intelligence infrastructure, while France stated that it will invest 109 billion euros.