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Wall Street’s bullish stance on Nvidia stock continues even as the stock trades at record highs.
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Analysts are optimistic about the next-generation Blackwell chip and Nvidia’s web of corporate partnerships.
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Bank of America and Goldman Sachs are among the banks that have raised their price targets in recent weeks.
Nvidia shares are trading at record highs, but that hasn’t stopped top Wall Street analysts from being optimistic.
Banking analysts have raised their price targets for the chip titan in recent weeks, predicting more upside potential even as the stock has enjoyed a meteoric rise over the past year.
Shares traded above $142 each on Monday, hitting a new all-time high as investors prepare for the company’s next earnings report on Nov. 20. The stock is up 193% this year.
But Nvidia still has plenty of room to climb, according to forecasters. They point to signs of crazy demand for the company’s AI-enabled GPU chips and a long list of partnerships with corporate “hyperscalers.”
Here’s what some of Wall Street’s top forecasters are saying about their bullish outlook for the stock.
Bank of America, $190 price target
BofA strategists raised their price target on the chipmaker to $190 from $165 per share last week, implying a 35% upside from the stock’s current levels.
The positive impact will be determined by Nvidia’s competitive advantage over other chipmakers, as well as the “generational opportunity” in the AI market, which is expected to grow to $400 billion, analysts said in a note.
“Driven by our increased NVDA Data Center Compute prospects, we now see the AI accelerator market growing from just ~$45B in CY23 to $280B in CY27E (and to $400B+ over time). AI Models ( demand) continue to evolve.” the bench added.
Strategists pointed to positive signs for future demand for Nvidia’s chips, including commentary from other tech companies and commentary from CEO Jensen Huang, who described demand for Nvidia’s upcoming Blackwell chip as “insane.”
Nvidia, meanwhile, also has a number of “undervalued” business partnerships with companies like Accenture and Microsoft, which should contribute to its upside potential.
“We also emphasize a growing presence of AI in enterprises, with NVDA being the preferred partner,” the bank said. “NVDA’s operations span multiple verticals (e.g. Accenture, ServiceNow, Microsoft), and offerings such as AI Foundry, AI Hubs and NIMs are key levers for its leadership in AI, not only on the hardware side, but also on the of systems and ecosystems.”
Goldman Sachs, $150 price target
Goldman analysts raised their price target from $135 per share to $150, implying a 6% upside from the stock’s current levels.
Strategists said they changed their price target after meeting with Huang. Nvidia’s CEO spoke about the company’s advantage over other chipmakers, and the bank said Nvidia’s “competitive moat” is built on the company’s installed base, its innovation and its “robust and growing” software offering.
“While we recognize that the company’s revenue trajectory beyond 2025 remains uncertain, we expect the stock to at least perform consistently with estimate revisions given relative valuation multiples that remain low compared to history… and the potential for a new acceleration of fundamentals. through the upcoming Blackwell product cycle,” strategists wrote.
Blackwell could also help generate several billion dollars in revenue for Nvidia, the strategists estimate.
“By integrating seven chips, each playing a role in delivering higher performance at the data center level, we view the introduction and ramp-up of Blackwell not only as a driver of revenue growth in the short and medium term, but also as a dynamic that expands Nvidia’s capabilities. competitive advantage The ramp-up of Blackwell-based products remains on track, with sales expected to reach several billion dollars in the January quarter, followed by further growth in April and beyond.”
CFRA Research, $160 price target
Research firm CFRA raised its price target from $139 per share to $160, implying an upside of 13% from current levels. According to Angelo Zino, a senior equity analyst at CFRA, this is due to increased confidence that Nvidia will deliver better-than-expected growth, especially as customers scramble to get their hands on the new Blackwell chip.
“The higher multiple and target reflect our increased belief that NVDA will deliver results that exceed our consensus views in CY 25 as Blackwell grows. As we previously mentioned, Blackwell will take a larger share of hyperscalers’ wallets (e.g. larger GPU, CPU, networking and software revenues) amid an AI war in the cloud,” Zino wrote.
Bernstein, $155 price target
Bernstein raised his price target to $155 per share shortly after the chipmaker reported its second-quarter earnings in August.
Like other companies’ predictions, Bernstein’s upside forecast is based on the success of the Blackwell GPU.
“People are getting excited about the story again, especially as we get closer to earnings, and then towards the end of the year and into next year, their new platform, Blackwell, really starts to take off. Look, by all indications, their own commentary, all supply checks and everything else, the demand for this product just seems to be off the charts,” Rasgon said in an interview with CNBC in early October. “If the controls are any indication, this cycle has to be potentially huge,” he added.
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