Just how much bigger will Nvidia get in 2025 has emerged as a key among investors, even as the stock finished Monday at its third consecutive record high close. There are lots of price target hikes out there, including ours. Goldman Sachs on Monday planted its flag in the camp of 2025 optimists — simultaneously arguing against a pillar of the Nvidia bear case and raising its price target to $800 per share from $625. The new Goldman price target — which implies nearly 15.5% upside from Monday’s — isn’t even the highest on the Street. Rosenblatt Securities is at $1,100 and there are others even higher. We’re also raising our Club price target on Nvidia to $750 from $600. We’re being a little more conservative than Goldman, with plans to consider whether further adjustments are needed around Nvidia’s earnings report later this month. One of the lowest Nvidia price targets belongs to DA Davidson at $410 per share. The firm initiated coverage of Nvidia with a hold rating in January, arguing financial estimates for the company in 2025 and beyond were too lofty. On Monday, shares of Nvidia rose 4.8% to an all-time high of $693.32 each — bucking a downtrend for the three major U.S. stock benchmarks. Nvidia has already gained 40% year to date. It’s the best-performing S & P 500 stock this year as it was in 2023 when it more than tripled in value. NVDA 1Y mountain Nvidia’s stock performance over the past 12 months. Part of Monday’s move can be attributed to Goldman no longer projecting Nvidia’s data center revenue — its largest segment and home to artificial intelligence chip sales — to drop off in the second half of this calendar year 2024. According to Monday’s note to clients, the analysts cited several reasons why Nvidia should see “consistent growth” through at least the first half of 2025. Large, longtime Nvidia customers — hyperscalers such as Microsoft and Amazon — keep spending heavily on generative AI initiatives, Goldman noted, while the…
Read the full article here
