Nvidia is pushing for a new all-time high again. Results from its artificial-intelligence server partner Foxconn suggest the chip maker should have plenty of momentum to keep moving higher.

Nvidia shares were up 0.9% at $236.02 in premarket trading. If the move holds, it would see it surpass the stock's all-time closing high of $235.74, reached in May.

Investors finally seem to be gaining confidence that a company with a $5.6 trillion valuation can still be undervalued. Nvidia was a Barron's stock pick in May when shares traded around $226 with a forward price-to-earnings ratio of about 24 times. It now trades at a forward multiple of 17.1 times, according to FactSet.

For evidence that AI hardware is set to keep booming, just look at Nvidia's Taiwanese partner Foxconn-formally known as Hon Hai Precision Industry. Foxconn is primarily known in the U.S. as the main contract manufacturer for Apple but makes more of its money from cloud and networking products, including AI servers housing Nvidia chips.

Foxconn reported September-quarter revenue of 3.03 trillion New Taiwan dollars ($95.48 billion) on Monday, up 47% from the same period last year. Foxconn said "AI-related operations" are set to keep growing in the fourth quarter, although it didn't provide specific guidance.

If Nvidia finally breaks out of the trading range it has occupied since May, then it could move decisively higher. The average price target on Wall Street is $334.45 according to FactSet.