Chipmaker Nvidia (NVDA) has seen a strong rally recently, but not everyone on Wall Street believes it can keep going at the same pace. Indeed, JPMorgan (JPM) strategist Mislav Matejka said he still likes semiconductor stocks and remains positive on the group, but he also warned that the market may not behave the same way it did last year. While Nvidia surged about 120% over a six-month stretch in 2025 after a weak first quarter, Matejka believes that the conditions for another similar run are not in place this time.
Claim 55% Off TipRanks
New trading tool for NVDA bearsAs a result, he expects a rally to spread across more stocks rather than stay concentrated in a few names. At the same time, the overall semiconductor sector has been performing well. The Philadelphia Semiconductor Index (SOXX), which tracks 30 major chip companies, has gained about 9% this month. This index is heavily weighted toward large players like Broadcom (AVGO), Micron Technology (MU), and Advanced Micro Devices (AMD), as well as Nvidia. These companies have all seen strong gains, and the sector continues to be a key driver of market momentum.
This strength is being supported by solid earnings due to strong demand. For example, Taiwan Semiconductor Manufacturing Company (TSM) reported a 35% jump in revenue to a record level, which suggests that AI-related demand is accelerating. In addition, Intel (INTC) also pointed to strength in AI chips. Even so, Matejka warns that past performance does not guarantee future results. Still, in the short term, it may be difficult to challenge bullish sentiment, as investors continue to pour money into semiconductor stocks.
What Is a Good Price for NVDA?
Turning to Wall Street, analysts have a Strong Buy consensus rating on Nvidia stock based on 40 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 $274.38 per share implies 31.3% upside potential.
