(Bloomberg) -- While mentions of ties to Nvidia Corp still trigger big jumps in shares of companies around the world, the gains may be short-lived, with some investors questioning whether the halo effect is fading.

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Shares of Samsung Electronics Co. rose more than 3% on Wednesday after Nvidia founder Jen-Hsun Huang expressed confidence in the South Korean company's memory chip capabilities. Taiwanese company MediaTek almost hit all-time highs after announcing a partnership with Nvidia during the CES trade show, where Jen-Hsun Huang gave a keynote speech. Since then, both stocks have fallen about 6%.

The U.S. chip giant's stock price has fallen 12% since Huang Jensen's speech at CES. Geopolitics and tech trade policy have weighed on the industry, while growing competition for investor attention poses another threat to the company's Midas touch.

"I doubt Jensen Huang's comments will be as influential this year as they were last year," said Jung In Yun, CEO of Fibonacci Asset Management Global Pte. "Nvidia's position is still dominant, but competitors are also rising, and we should be more Pay attention to what non-NVIDIA players are saying.”

Technology stocks have been weighed down in recent weeks by concerns that the Federal Reserve may delay cutting interest rates and the Biden administration's restrictions on exports of artificial intelligence chips. Markets are also focused on the policy plans of Donald Trump and key adviser Elon Musk.

"Nvidia was much stronger last year because AI chips were still a fresh idea and its stock price soared," said Ahn Hyunsang, CEO of the Korea Investment Research Institute, which provides stock trading tips to day traders. "This year, Trump and Musk are expected to have even more influence."

It's too early to judge Nvidia's gains, as the stock hit an all-time high just before the CES excitement cooled last week. And it certainly still has the ability to move shares of other companies.

Thanks to the meeting between the group chairman and Huang Jen-Hsun at CES, SKC's stock price has risen by more than 50% this year. Shares of the small South Korean company are the best performers on the MSCI Inc. stock benchmark in Asia and emerging markets so far in 2025.

"What the market likes is whether a stock can be integrated into the supply chain of a dominant player," said Rho Wooho, an analyst at Meritz Securities Co. The speculation has pushed SKC's stock price to new levels even though the company has been losing money. He added that over the past few years.

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