AI Darling Nvidia’s Stock Could Keep Rising After a Record Year. Here’s Why. | Global News Avenue

This is a record-breaking year Artificial Intelligence (AI) Dear Nvidia (NVDA) stock, its momentum may be far from over.

although recent decline This puts the stock into correct Analysts remain extremely bullish on the chipmaker’s stock, expecting further gains as demand for the company’s artificial intelligence chips continues to outpace supply.

“The era of artificial intelligence is here, and it’s massive and diverse,” CEO Jen-Hsun Huang said told investors last monthNvidia will benefit as computing scale grows “exponentially.”

Analysts are overwhelmingly bullish on Nvidia’s upside potential. All but one of the 21 analysts tracked by Visible Alpha have a “buy” or equivalent rating, with an average price target of about $177, implying an upside of more than $31 from Friday’s closing price of $134.70. %.

Nvidia’s sales and stock price hit record highs

Strong demand for artificial intelligence has driven Nvidia’s sales of chips that support the development of artificial intelligence and the company’s stock price has hit a record high this year, and the stock price will more than double in 2024. This puts the company’s value into rich territory, with Nvidia One of only three companies currently exercising Market value Over $3 trillion.

Last month, the company Reports record quarterly revenue Data center revenue more than doubled year over year in the fiscal third quarter to a record $30.8 billion, to $35.1 billion.

During the company’s earnings call, executives said they were seeing “amazing” demand for the company’s next-generation Blackwell AI system, which CEO Jensen Huang called “a Completely changing the rules of the game for this industry. ”

In a note to clients in mid-December, Morgan Stanley analysts called Nvidia a “top pick” and wrote that they expected the chipmaker to maintain its AI leadership in the near term, citing its research and development budget and strong relationships with major cloud providers.

CEO Jensen Huang’s January keynote could be the catalyst

Citi told clients that a major event to boost shares could come next month, with CEO Jensen Huang delivering a keynote speech at the Consumer Electronics Show (CES) on January 6.

Citi analysts said they expected Huang would likely announce a higher forecast for Blackwell sales at the event and highlight growth opportunities related to growing corporate and industrial demand for robots. Nvidia is also reportedly expected to launch new graphics cards and may announce other products edge.

The Goldman Sachs analyst also mentioned Nvidia’s annual GPU Technology Conference (GTC) in March. exist This year’s GTCNvidia launches Blackwell platform, announces expanded partnerships with industry leaders, and more. (Its fiscal fourth-quarter earnings report is expected in February.)

Huang has previously said the company plans to release New chip series every yearthe chipmaker is likely to provide more details in the coming months about Blackwell’s successor, Rubin, which is expected to be released in 2026.