Nvidia stock (NVDA) extended its decline on Friday, slipping another 1.8% in early trading and deepening the post-earnings pullback that began on Thursday. The drop has stirred new anxiety about whether the AI trade is finally losing its grip on Wall Street. Yet analysts, especially at Truist, continue to argue the opposite.
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Truist Finds Strength in Nvidia’s Utilization Data
Truist Securities analyst William Stein zeroed in on one detail from Nvidia’s earnings call that he argues cuts straight through the AI-bubble debate. Stein said the “telltale sign of a bubble” would be hardware being ordered or shipped without “operational or economic value.” Nvidia’s update showed the opposite.
Management noted that A100 chips shipped six years ago are still running at ‘100% utilization,’ which Stein called “the clearest indication that we are not in a bubble… at least not yet.” His takeaway is that even if the oldest hardware is still fully used, the demand picture remains intact.
Stein raised his price target from $228 to $255 and kept a Buy rating even as the stock dropped.
Wall Street Ups Targets as Nvidia Slides
Despite the back-to-back selloff, analysts boosted their average Nvidia target to $257.33, up from $234 pre-earnings. Many said Nvidia’s accelerating revenue and stronger-than-expected demand cycles still point to a durable multi-year AI infrastructure buildout.
AI Peers Stay Under Pressure
The weakness wasn’t limited to Nvidia. AMD (AMD) dipped another 0.8% and Broadcom (AVGO) slipped 0.4% in premarket trading. Futures tied to the S&P 500 steadied at +0.2%, offering a slight offset to Thursday’s volatility.
Adding to the long-term picture, Taiwan’s Foxconn said its $1.4 billion supercomputing center with Nvidia remains on track for the first half of 2026, powered by GB300 NVL72 systems.
Is Nvidia a Buy, Hold, or Sell?
Nvidia continues to command overwhelming confidence from analysts. Based on 41 ratings over the past three months, the stock carries a Strong Buy consensus. This breakdown includes 39 Buy recommendations, one Hold, and one Sell.
The average 12-month NVDA price target stands at $257.33, which implies about 42.5% upside from the last closing price.
