Chipmaker Nvidia (NVDA) has been making a series of AI investments, with its latest deal involving tech giant Microsoft (MSFT) and AI startup Anthropic (PC:ANTPQ). Under this agreement, Nvidia will invest up to $10 billion, while Microsoft will invest up to $5 billion. In return, Anthropic plans to buy $30 billion worth of computing power from Microsoft’s Azure cloud services. This deal adds to Nvidia’s already busy year. More specifically, the company has made 59 AI-related deals in 2025 alone for a total of $23.7 billion, according to PitchBook. That’s already more than the $22.8 billion it invested in all of 2024.
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Since 2020, Nvidia has invested about $53 billion across 170 AI-related deals. Many of these companies are both customers and partners of Nvidia, as they use its graphics processing units to build AI systems. While this strategy strengthens Nvidia’s role in the AI ecosystem, it also creates worries. Indeed, some analysts worry that Nvidia may be inflating the demand for its own chips by funding the same companies that buy from it, especially as tech stocks have come under pressure from fears of an AI-driven market bubble.
However, Nvidia CEO Jensen Huang defended these investments during a Bg2 Podcast by saying that they are smart bets on the future of AI. He believes companies like OpenAI (PC:OPAIQ) could become trillion-dollar giants and says that Nvidia’s funding is separate from any revenue it might earn from them. Other analysts, such as five-star Stacy Rasgon, agreed and told Yahoo Finance that this could be one of the best ways for Nvidia to use its cash right now. Still, some remain cautious, calling the structure of certain deals “unclear” and questioning whether Nvidia is simply subsidizing demand.
What Is a Good Price for NVDA?
Turning to Wall Street, analysts have a Strong Buy consensus rating on Nvidia stock based on 37 Buys, one Hold, and one Sell assigned in the past three months, as indicated by the graphic below. Furthermore, the average Nvidia price target of $243.09 per share implies 30.7% upside potential.
