Shares of LG Electronics surged sharply on Monday, reaching a new intraday peak amid reports that Nvidia may deepen its collaboration with the South Korean group. By 02:32 GMT the stock had climbed as much as 30% to a record 380,500 won, following an earlier near-30% move on Friday.
The jump in LG shares followed media accounts saying Nvidia CEO Jensen Huang is expected to travel to Seoul later this week after Nvidia's GTC Taipei event. The reports said Huang would meet leading figures in South Korea's business community, including LG Group Chairman Koo Kwang-mo.
Market participants interpreted the potential meeting as a signal that discussions could broaden into what investors call "physical AI" - applications that combine artificial intelligence with hardware and systems. Areas specifically cited by market commentary include robotics, smart factories, mobility and AI infrastructure.
Those expectations build on recent statements from LG Electronics that it has been in talks with Nvidia about possible cooperation in robotics, AI data centres and mobility technologies. Additional South Korean reporting has said Nvidia executives have held talks with LG on robotics-related initiatives, feeding hopes of a wider strategic alignment.
It is important to note that Nvidia has not announced any formal agreements related to these reports. The accounts also indicate that Huang's planned trip to South Korea has not been finalised.
Traders and investors appear to have responded quickly to the combination of corporate comment and local media reporting. The sharp move in LG's stock reflects market pricing of an increased probability that the two companies could expand joint activity in hardware-linked AI use cases, though no contractual developments have been made public.
Given the lack of formal announcements from Nvidia or LG, the situation remains fluid. Observers will likely watch for confirmation of Huang's Seoul visit and any subsequent statements from either company to clarify the scope and timing of possible collaborations.
Contextual note - The reporting cited here reflects local media coverage and company comments; no binding agreements have been disclosed by the parties involved.