Nvidia Stock Forecast: New Street Upgrades NVDA to “Buy” with $120 Price Target
Despite a recent correction, Nvidia (NASDAQ:NVDA) remains a top pick among analysts, with New Street Research upgrading the stock to a “buy” rating and setting a price target of $120 per share. The upgrade is based on the potential of Nvidia’s upcoming Blackwell chip line, scheduled for release in the first quarter of 2025.
While NVDA stock has experienced a 26% drawdown from its recent peak, analysts view this correction as a buying opportunity. New Street believes Nvidia is well-positioned in the AI market, particularly in the data center GPU segment where it holds a dominant position.
Although there has been speculation about competition from rivals like Advanced Micro Devices (NASDAQ:AMD), New Street analysts are confident that Nvidia’s strong market position will not be significantly impacted. They believe that Nvidia’s in-house XPUs will continue to perform well against GPUs from competitors.
The recent market selloff on Monday has led to a 3.78% gain in NVDA stock, adding to its impressive 116% increase so far this year. However, analysts caution that a broader market crash may be looming, which could potentially erode some of Nvidia’s gains.
Overall, New Street’s bullish outlook on Nvidia reflects confidence in the company’s future prospects and its ability to maintain its leadership in the chipmaking industry. Investors should consider the upgrade and price target increase as a positive signal for the stock’s long-term growth potential.
Analysis: New Street’s upgrade of Nvidia to a “buy” rating with a $120 price target indicates strong confidence in the company’s future performance. This suggests that investors may see positive returns by holding or buying NVDA stock. Additionally, the market’s reaction to the upgrade, with a 3.78% gain in the stock price, reflects investor optimism and could signal further upside potential. Overall, this news highlights Nvidia’s resilience in the face of competition and market volatility, making it a compelling investment opportunity for those looking to capitalize on the growth potential of the chipmaking industry.