E2E Networks shares zoom 20% post partnership with Nvidia
E2E Networks shares today zoomed 20 per cent to hit the upper circuit in trade. The buying was buoyed on news of its collaboration with Nvidia Corporation.
 "E2E Networks shares zoom 20% post partnership with Nvidia")
E2E Networks share price today
E2E Networks shares saw a strong buying interest with the counter rallying 20 per cent to hit the upper circuit in intraday trade today. The buying was buoyed on news of its collaboration with the global chip giant Nvidia Corporation.
E2E Networks shares opened marginally higher at ₹2,560 versus the previous close of ₹2,556.90 on the National Stock Exchange (NSE). The counter then went on to hit the day's upper price band of ₹3,068.20, up 20 per cent.
Trading in the stock was halted at the circuit briefly before it pared the gains to trade at Rs 2,998, up 17 per cent, around 1 PM with 1.3 million equities changing hands.
In the last 12 months, E2E Networks shares have outperformed the frontline Nifty index, zooming more than 50 per cent. The benchmark index has jumped 12 per cent during the same period. READ LATEST STOCK MARKET UPDATES TODAY LIVE
Why did E2E Networks share price rise today?
Shares of E2E Networks saw strong demand in Wednesday’s session after Nvidia Corporation announced a collaboration with the company alongside Larsen & Toubro and Yotta. The collaboration announcement came as India is hosting the AI-impact summit.
“NVIDIA is collaborating with next-generation cloud providers Yotta, L&T, and E2E Networks to deliver advanced artificial intelligence (AI) factories to meet India’s growing need for AI compute and enable it to develop AI models and services that drive innovation,” the global chipmaker said in its blog on Tuesday.
The Indian cloud service provider is building an NVIDIA Blackwell GPU (graphics processing unit) cluster on the global chip maker’s TIR platform hosted at the L&T Vyoma Data Center in Chennai. The TIR cloud will be positioned to accelerate sovereign AI development across critical sectors, including healthcare, finance, and manufacturing, by integrating NVIDIA HGX B200 systems with enterprise software and Nemotron open models, according to Nvidia’s blog article.
Notably, E2E Networks has made no public announcement about the collaboration yet.
Meanwhile, the exchange has sought clarification from E2E Networks Limited with respect to recent news item captioned E2E Networks shares surge 16% following Nvidia partnership for AI factories. ALSO READ | HEG rallies 7% on promoter shares buying from open market
Analyst view
Harshal Dasani, business head, INVAsset PMS, said that the partnership between E2E Networks and Nvidia should be evaluated through the lens of India’s AI infrastructure build-out.
Nvidia continues to command an estimated over 80 per cent share of the global AI accelerator market, and access to its enterprise-grade GPUs materially enhances a cloud provider’s competitive positioning.
"For E2E Networks, which operates in the domestic cloud and high-performance computing segment, the collaboration signals potential preferential access to advanced AI chips and ecosystem alignment," he said.
AI workloads are emerging as one of the fastest-growing verticals in India’s public cloud services market. If E2E Networks can scale GPU capacity meaningfully, it could position itself as a localised alternative to hyperscalers for startups and mid-sized enterprises seeking lower-latency AI infrastructure, he added.
==============
Disclaimer: View and outlook shared belong to the respective brokerages/analysts and are not endorsed by Business Standard. Readers discretion is advised.