‘Buy and Don’t Look Back,’ Says Investor About Nvidia Stock

Nvidia (NASDAQ:NVDA) has made a strong comeback, with its shares surging 68% since hitting a 52-week low in early April. This robust rebound follows a period of uncertainty earlier this year, when Trump’s tariff threats and rising trade tensions fueled investor concerns about the future of the AI infrastructure sector. Fears of a global economic slowdown and worries that hyperscalers might pull back on AI spending only deepened the unease. But with renewed investor confidence, Nvidia has quickly regained its momentum.

This turnaround has caught the attention of market watchers and bulls alike. Among them is an investor known by the pseudonym Star Investments (SI), who believes Nvidia’s “strong vision for AI” means the story is far from over, and that investors should remain interested in what comes next.

Central to SI’s thesis is the leadership of CEO Jensen Huang, whose knack for identifying and seizing AI opportunities well ahead of competitors has repeatedly set Nvidia apart. For instance, Huang and his team were early to spot the enormous potential of Sovereign AI – a market some now believe could be worth a trillion dollars.

“Although NVIDIA may not have invented the concept of Sovereign AI,” says SI, “it is a pioneer in this market segment.”

That ability to spot emerging opportunities extends well beyond data centers. Nvidia has also established itself as a trailblazer in physical AI and robotics – fields where technology is moving from the virtual world into tangible, real-world applications. Physical AI encompasses everything from autonomous vehicles to humanoid robots, allowing machines to perceive and interact with their environment in new ways. Here, too, Nvidia is pushing the boundaries, with platforms like Omniverse and Cosmos powering next-generation robotics such as the Isaac GR00T.

The long-term potential of this market is vast, though difficult to fully quantify. As SI points out, physical AI sits at the intersection of several rapidly evolving sectors, including robotics, AI, and automation. Some forecasts underscore just how enormous this opportunity might be: for example, Fortune Business Insights projects the global autonomous vehicle market will expand from $1.9 trillion in 2023 to a staggering $13.63 trillion by 2030, representing a 32.3% CAGR.

“Although investors often focus most on NVIDIA’s AI data center opportunity, they should also remain aware that the company may have just as large an opportunity in robotics and physical AI when calculating its valuation,” SI says. “NVIDIA’s high-octane growth may last longer than many people have factored in.”

Moreover, while rivals are scrambling to catch up, Nvidia’s dominance in the core AI infrastructure market remains as strong as ever. Analysts estimate that the company still controls between 80% and 92% of the data center GPU market. If, as SI believes, Jensen Huang’s vision for AI spreading into every major industry proves correct, the total market Nvidia is poised to address could ultimately reach into the trillions.

“Growth investors should consider purchasing shares,” Star Investments therefore summed up. “I maintain my Strong Buy rating on NVIDIA.” (To watch Star Investments’ track record, click here)

Most of the Street’s analysts are thinking along the same lines; based on a mix of 35 Buys, 4 Holds and 1 Sell, NVDA stock claims a Strong Buy consensus rating. At $175.97, the average price target factors in a one-year gain of 11%. (See NVDA stock forecast)

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Disclaimer: The opinions expressed in this article are solely those of the featured investor. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.