Morgan Stanley expects to see Nvidia outperform from here

Morgan Stanley has been “somewhat surprised” at Nvidia’s (NVDA) underperformance year-to-date after a weak close to 2025, telling investors that the firm’s checks “remain very strong, and getting stronger.” The number of AI beneficiaries are broadening out, and there is also concern over potential share, which is “overblown to begin with,” says the analyst, who thinks a strong Vera Rubin ramp will mitigate any share concerns. The firm, which sees the stock outperforming from here as the company address these concerns in what continues to be a very robust AI environment, has an Overweight rating and $250 price target on Nvidia shares.