Just as Nvidia (NASDAQ: NVDA) stock was posting new all-time highs at $1,200, the 10-for-1 stock split took effect, which reduced its price to $120, and even though stock splits don’t change much in the fundamental aspects, analysts were forced to reassess their targets, with a number of them setting $200 as a new threshold to reach.
As Nvidia’s impressive run extended into this year, taking its market capitalization to $3.34 trillion and making it the world’s most valuable firm, the gains will not end there, at least not according to Wall Street experts, who put out new NVDA stock price targets almost weekly at this point.
Nvidia continues to develop its data centers and AI-focused chipsets while constantly involving itself in the newest projects to increase revenue, such as collaborating with Super Micro Computer (NASDAQ: SMCI) and Dell (NYSE: DELL) to create an AI supercomputer for Elon Musk’s xAI.
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Most of the analysts are taking it one step at a time with Nvidia
Despite the parabolic run of over 180% year-to-date NVDA’s stock has been on, Wall Street analysts exercise caution when assigning new price targets and ratings, preferring to take it development by development.
Nvidia’s promising long-term growth and vital profitability metrics have prompted Stifel analysts to raise their price target for the AI chipmaker’s shares. In a June 18 note to clients, the analysts announced an increase from $114 to $165, adjusted for Nvidia’s recent stock split.
This revision reflects Stifel’s new projection that Nvidia’s stock will trade at about 40 times the anticipated fiscal 2027 earnings per share of $4.10.
Ivan Feinseth, an analyst at Tigress Financial, reaffirmed his “buy” rating on Nvidia stock with a price target of $170. He emphasizes that Nvidia’s ongoing advancements in GPU technology and product innovation are crucial to maintaining its leadership in the AI sector. Feinseth also notes that Nvidia’s growing presence in data centers, driven by new product launches, will support its continued growth.
Analysts from Wells Fargo share the same optimism about Nvidia’s prospects as their colleagues while lifting the NVDA stock price target from $125 to $155 in a research note published on June 18.
However, some analysts already see Nvidia stock at $200
In what is currently the most bullish thesis on Nvidia stock, Rosenblatt Securities increased their price target for Nvidia from $140 to $200. The analysts credit Nvidia’s Hopper, Blackwell, and Rubin series with driving significant market share gains in one of Silicon Valley’s most successful product cycles.
They emphasize that while future gains in networking hardware like switches, network interface cards (NiCs), and data processing units (DPUs) are promising, the key driver is software that enhances hardware capabilities. This software is expected to grow significantly in the sales mix over the next decade, positively impacting Nvidia’s valuation.
The analysts project Nvidia to achieve an EPS of $5.00 or more by 2026, supporting their raised price target based on a 40x P/E multiple.
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