Nvidia (NVDA) heads into its Q1 earnings report, due on May 21, with high expectations. Ahead of the results, Raymond James analyst Simon Leopold kept a Strong Buy rating on NVDA stock and a $323 price target. The analyst said the company looks well-positioned going into earnings, citing several key catalysts and trends.
Meet Samuel – Your Personal Investing Prophet
Explore NVDS for 2X short leverage on NVDAFirst, Nvidia’s leaders recently shared a new long‑term outlook at its GTC event, citing $1 trillion in cumulative GPU revenue through 2027. He believes this number may actually be conservative because it does not include future platforms such as Vera Rubin Ultra, Feynman, or Groq LPX. In his view, Nvidia’s product roadmap still has plenty of room to grow.
He also said his team’s industry checks show that Nvidia’s AI inference business is ramping faster than expected. Also, spending in this area could start to pick up later this year. Even though inference is still early in its growth cycle, Leopold thinks Nvidia is ahead of schedule.
On valuation, Leopold argued that Nvidia stock still looks attractive despite its huge run. He noted that the stock’s 2027 P/E has fallen to around 18x, well below its long‑term median of 31x and even below the S&P 500 Index’s (SPX) 20x. He said this discount is likely to reflect worries about competition from TPUs and Cerebras (CBRS). But he believes the risk/reward remains in Nvidia’s favor.
What Is the Prediction for NVDA Stock?
Turning to Wall Street, NVDA stock has a Strong Buy consensus rating based on 40 Buys, one Hold, and one Sell assigned in the last three months. At $280.31, the average Nvidia stock price target implies a 22.34% upside potential.
