Nvidia (NVDA – Research Report), the Technology sector company, was revisited by a Wall Street analyst yesterday. Analyst Vivek Arya from Bank of America Securities reiterated a Buy rating on the stock and has a $150.00 price target.
Vivek Arya’s rating is based on Nvidia’s strong performance expectations and strategic positioning in the AI infrastructure market. Arya anticipates a modest sales beat for Q1, with sales projected at $44 billion compared to the consensus of $43 billion, driven by robust demand for Nvidia’s products. Although there are some headwinds expected in Q2 due to geopolitical factors and a recent ban affecting China, Arya believes these challenges are manageable and have already been factored into the current stock price.
Furthermore, Arya highlights the compelling valuation of Nvidia’s stock, trading at the lower end of its historical range, and the company’s critical role in AI infrastructure investments, which continue to see strong support from major US cloud customers. Despite a projected EPS reset, the long-term growth prospects in the AI market, particularly in unrestricted regions, present a significant opportunity for Nvidia. Arya also notes that Nvidia’s management is actively engaging with investors, which could provide additional positive momentum for the stock.
In another report released on April 30, Bernstein also maintained a Buy rating on the stock with a $185.00 price target.
NVDA’s price has also changed moderately for the past six months – from $135.400 to $111.610, which is a -17.57% drop .