This week’s strong market pushed three of our portfolio stocks well clear of our current price targets. Since these rallies look like they have legs, we’re taking our numbers up. Nvidia price target increased to $1,050 NVDA YTD mountain Nvidia YTD Coming off a bullish GTC conference where Nvidia CEO Jensen Huang made the case that the artificial intelligence investment cycle is still in its early innings, we are increasing price target on the chip giant to $1,050 per share from $850. With such a big move this year, an over 90% gain, we’re reiterating our 2 rating, meaning look to buy on pullbacks. Not only did Nvidia unveil its next-generation Blackwell platform, Jensen stressed the importance of the company’s software. Nvidia is taking a page out of Apple’s playbook as Jensen builds a platform company driven by software and hardware working together in an ecosystem. “It’s not just a chip. It is a platform. Now what does that mean? It means it’s filled with software. What does that mean? It’s recurring revenue; it’s not one-off,” Jim Cramer said Tuesday. “There are a lot of people who say it’s a defensive move. I say it’s an offensive move.” Eaton price target hiked to $330 ETN YTD mountain Eaton YTD The need for all new AI data centers is going to increase the demand for electricity and new solutions to modernize the grid. As a result, we remain positive on power management company Eaton even after its big run of more than 30% in 2024. It hit another 52-week high on Friday. We’re increasing our Eaton price target to $330 per share from $290 and reiterating our buy-equivalent 1 rating. As a sanity check, Bank of America increased its Eaton price target to $340 from $330 on Thursday following a meeting with management. The analysts said the key message from the meeting was that growth opportunities are in their early innings. Indeed, in the company’s fourth-quarter report , management said its electrical backlog coverage is roughly three times its historic…
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