Nvidia (NVDA) continues to dominate the AI chip market, with its stock up an impressive 34% year-to-date. The company’s prospects remain strong, driven by rising demand for its GPUs in data centers, cloud infrastructure, and AI workloads. Despite the share price gain, technical indicators suggest that NVDA stock is a Buy, which implies further upside from current levels.
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Analyzing NVDA Stock’s Technical Indicators
According to TipRanks’ easy-to-understand technical analysis tool, Nvidia stock is currently on an upward trend. The Moving Average Convergence Divergence (MACD) indicator, which helps understand momentum and potential price changes, signals a Buy.
Further, the stock’s 50-day Exponential Moving Average (EMA) is 164.53, while its price is $182.01, implying a bullish signal. Also, its shorter-duration EMA (20 days) signals an uptrend.
Moreover, the Rate of Change (ROC) is a momentum-based technical indicator. It measures the percentage change in a stock’s price between the current price and the price from a specific number of periods ago. Typically, a ROC above zero confirms an uptrend. NVDA stock currently has an ROC of 2.09, which signals a Buy.
Another technical indicator, Williams %R, helps traders see if a stock is overbought or oversold. For Nvidia, Williams %R currently shows a Buy signal, suggesting the stock is not overbought and has room to run.
Is NVDA Stock a Good Buy?
Turning to Wall Street, Nvidia has a Strong Buy consensus rating based on 35 Buys, two Holds, and one Sell assigned in the last three months. At $192.62, the average NVDA stock price target implies a 5.83% upside potential.
