“Don’t Miss Out on Nvidia’s (NVDA) Growth Ahead,” says Top Morgan Stanley Analyst

Nvidia’s (NVDA) shipment volume of its GB200 Grace Blackwell processors is on the rise, a trend that analyst Joseph Moore of Morgan Stanley (MS) believes will ease concerns about rack deployment slowdowns. The five-star analyst reiterated a Buy rating on NVDA stock with a price target of $160, implying 30.1% upside potential.

Shipment Growth Supports Nvidia’s Future

In a note to clients, Moore stated that the Taiwan original design manufacturers (ODMs) team shipped nearly 1500 GB200 racks in April across three ODMs.

He further pointed out that if about 2,500 GB200 racks were shipped by the end of April, and the monthly shipment rate holds at 1,500 for the rest of the year, Nvidia could deliver about 15,000 racks by year-end, indicating growing demand.

It’s important to note that the number of racks shipped indicates how many AI chips Nvidia is shipping. More racks mean more chips in data centers, which signals strong demand for AI computing power.

Also, Nvidia’s integration of ARM (ARM) processors and liquid cooling into its rack-scale products boosts efficiency and data center adoption, strengthening its position.

Analyst Sees Future Growth Potential

Looking ahead, Moore remains bullish, citing strong demand from CoreWeave (CRWV) and xAI, which are requesting HGX B200 racks with 48 to 64 GPUs. These orders suggest continued AI growth, helping Nvidia expand in high-performance computing.

Is NVDA a Strong Buy?

Turning to Wall Street, NVDA stock has a Strong Buy consensus rating based on 34 Buys, five Holds, and one Sell assigned in the last three months. At $164.35, the average Nvidia stock price target implies a 33.62% upside potential.

See more NVDA analyst ratings.