Though Nvidia (NASDAQ: NVDA) has already gained a superstar status in the stock market thanks to its pivotal role in the ongoing artificial intelligence (AI) boom, CEO Jensen Huang has recently outlined even more ambitious plans for the future.
According to Huang, the semiconductor giant now plans to make leaps akin to the advancement from Hopper to Blackwell microchip infrastructure every single year.
If successful, the program would double or even triple the capacity of companies utilizing AI infrastructure, simultaneously reducing costs by the same magnitude.
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The plan is also driven by the ‘insane’ demand for Blackwell, which CEO Huang described as ‘in full’ production.
Blackwell demand could drive NVDA to stock to new highs
Additionally, both the success of the latest-generation architecture and the ambitious roadmap could help NVDA stock finally decisively break the stagnant phase it has been in through the summer.
Thus, it might not only reclaim previous highs but also advance toward the Street high 12-month price target near $200.
Such a scenario would also be consistent with Rosenblatt’s analysis – the firm that set the aforementioned target – which explained that the excitement surrounding Blackwell and Hopper is likely to translate into vastly stronger sales in the coming years and, in turn, into significant growth.
Will pride come before the fall for Nvidia shares?
On the other hand, Jensen Huang’s ambitious plans for annual AI infrastructure revolutions could also eventually turn into a bear case.
Should Nvidia fail to provide such upgrades reliably, or, worse still, should it fall into a pattern of annual sidegrades with a ‘two steps forward, one step back’ mentality seen with consumer electronics and franchise entertainment, NVDA stock could experience strong headwinds.
Indeed, though the semiconductor giant boasts a strong track record, Meta’s (NASDAQ: META) Mark Zuckerberg recently suggested that there may not be much road ahead in terms of AI-focused microchip infrastructure.
Still, it is worth pointing out that the Facebook founder, despite mentioning the possible issues, is highly bullish and believes the technological ‘filter’ is relatively far in the future.
Nvidia stock price chart
Elsewhere, whatever the future may hold for Nvidia, there is little doubt that its stock market has more than merited the popularity of NVDA shares. Indeed, the chipmaker is 151,96% in the green since the year’s first bell on January 2.
Furthermore, Nvidia stock price today, on October 3, stands at $120.98 after an 11.96% 30-day rise, but a 3.10% 5-day drop.
