Nvidia’s (NVDA) stock is struggling, down 20% this year and hitting its lowest level since September 2024. Investors who once rode the AI boom are now watching nervously as Trump’s tariffs threaten to derail the industry.
AI Boom Clashes With Trade War
Nvidia’s financials remain strong, reporting a record $130.5 billion in revenue for Fiscal 2025, a 114% year-over-year jump. But the market isn’t celebrating. According to Barrons, Trump’s new tariffs on semiconductor imports—especially from Taiwan, where Nvidia produces its advanced chips—have investors worried about rising costs and supply chain chaos.
Analysts See Opportunity Despite the Chaos
Some analysts argue the selloff is an overreaction. Stacy Rasgon of Bernstein acknowledges the market’s fear but says Nvidia’s fundamentals remain solid. MarketWatch reported that Ben Reitzes of Melius Research calls the current dip a disconnect from reality, maintaining a “Buy” rating with a price target of $170, a potential 60% upside.
Nvidia’s fate hinges on how the AI market reacts to geopolitical turmoil. If Trump walks back the tariffs, stocks could rebound. If not, investors will have to decide whether Nvidia’s AI dominance can weather the storm.
What Is the Price Prediction for NVDA Stock?
Analysts remain bullish about NVDA stock, with a Strong Buy consensus rating based on 39 Buys and three Holds. Over the past year, NVDA has increased by more than 25%, and the average NVDA price target of $177.41 implies an upside potential of 63.5% from current levels.
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