Nvidia (NVDA) stock closed at a record high on Monday as Wall Street analysts remained bullish on the stock ahead of its November earnings report.
Shares of the leading AI chip maker rose more than 4% to close at $143.71 per share.
The move comes as Wall Street analysts reiterate their “buy” ratings on the company’s stock. Citing strong demand for artificial intelligence, Bank of America (BAC) on Friday raised its price target to $190 from $165 (see the call with analyst Vivek Arya from the Opening Bid Podcast below) Please see below). Meanwhile, investment research firm CFRA raised its target price for Artificial Intelligence. Nvidia fell from $139 to $160 last week. Analysts collectively expect the stock to rise to $148.37 over the next 12 months, according to the Bloomberg consensus forecast.
Bank of America analyst Vivek Arya said that in addition to the overall AI market growth, NVIDIA’s strength in enterprise AI, including partnerships with companies like Microsoft (MSFT) and Accenture (ACN), will , he said, is another factor contributing to his growth. Higher price target. Arya said “NVDA is the partner of choice” for enterprise AI hardware and software.
Nvidia headquarters in Santa Clara, California (Justin Sullivan/Getty Images) · Justin Sullivan via Getty Images
Wedbush analyst and Nvidia veteran Dan Ives echoed this sentiment in a note to investors on Sunday, saying that Nvidia leads the market and that “as AI use cases explode, A tsunami of spending is upon us,” he wrote.
Ives predicts that the AI infrastructure market will grow 10x between now and 2027, with companies spending $1 trillion in AI capital investment over that time.
“In short, we believe the tech bull market has just entered its next phase with the AI revolution, and tech stocks are poised for another 20% rally in 2025,” Ives said. added. “Now that the Fed and Powell have begun an aggressive rate cutting cycle, a macro soft landing remains the way to go, and technology spending on AI remains a generational spending cycle that is just beginning to impact the tech sector.” We are thinking.”
Despite a temporary decline last week and immediate concerns about a slowdown in AI spending, Nvidia stock is up nearly 3% over the past week and more than 20% over the last month.
Nvidia CEO Jensen Huang said there was “insane” demand for the company’s AI chips. AI chips are used by Big Tech companies in their data centers to power the artificial intelligence software they generate. Recent positive news from the company’s industry partners also boosted AI stocks overall, including Nvidia. Micron (MU), which supplies memory chips used in Nvidia’s GPUs, and TSMC (TSM), which makes Nvidia’s AI chips, both beat Wall Street expectations in their recent earnings reports.
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