Along with playing a pivotal role in the ongoing artificial intelligence (AI) boom, the semiconductor giant Nvidia (NASDAQ: NVDA) has awed investors with its staggering stock market performance in the last 20 months
Indeed, the company’s market capitalization skyrocketed by more than $2.4 billion since November 2022, and an NVDA stock price has risen by 198.22% in the last 12 months of trading.
Despite such a surge, analysts remain confident that the blue-chip chipmaker has more than enough room to grow, and their price target revisions have done little other than predict ever-higher highs.
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Wall Street weighs in on NVDA stock
A great testament to Nvidia’s stock market performance is that, despite continuous analysis and frequent adjustments, NVDA is in a state where it boasts a ‘strong buy’ rating on the stock analysis platform TipRanks, despite the average price target forecasting a 0.80% downside.
Such a situation is a product of the semiconductor maker’s shares repeatedly hitting 12-month forecasts in significantly less than 52 weeks.
Nonetheless, recent performance and recent developments – the chief of which being the 10-for-1 stock split that took effect after the market closed on June 7 – brought forth a renewed deluge of analysis and speculation on how high Nvidia can go.
At the time of publication, the two most bullish analysis firms – at least when it comes to the 12-month price target – are Oppenheimer and Argus, who both predict Nvidia will hit $150 in the time frame.
Nvidia price predictions
Nvidia’s strong performance has led some to expect an imminent move above $130 – perhaps even higher – though the models of OptionsRecom, a platform specializing in designing options trading strategies, estimate that betting on Nvidia staying below $134 at least until June 21 is relatively safe.
Looking further ahead, the picture becomes less clear, though Nvidia’s price-to-earnings (P/E) ratio and projected EPS growth provided by Larry Tantarelly, the Chief Technical Strategist and Founder of the Blue Chip Daily Trend Report, hint that the semiconductor giant has significantly more growth ahead.
Such a view is shared by Louis Navellier, a market expert, who estimates that NVDA will soon reach a $5 trillion market cap – a move that would send its stock price to $203.
While the estimate might be considered old given the pace NVDA has been moving at in the stock market, Beth Kindig, a lead technology analyst at the I/O Fund, opined in March that the semiconductor giant is likely to hit a $10 trillion market cap in six years’ time, effectively setting the 2030 Nvidia stock price target above $400.
A market crash could burst the bubble for NVDA shares
On the other hand, not all experts are as bullish and one – Harry Dent – a leading economist and financial author – recently predicted NVDA is set for a 98% crash.
Dent believes the blue-chip chipmaker will be a major victim of an upcoming collapse and considers that the current state of the stock market constitutes the ‘bubble of all bubbles.’
Ultimately, whatever the case may be in the long-term – in the mid-term even – the initial hours of trading on June 13 proved that the next task ahead of NVDA stock is a breaching of the psychological resistance level at $130 as it aimed for it only to be rejected and correct back toward $128.
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