Why Wall Street Analysts Say Nvidia Could Be a DeepSeek ‘Beneficiary’ | Global News Avenue

nvidia’s(NVDA) The stock starts to 2025, this week’s Crashed after graduation Drag stocks back near January lows DeepSeek-driven sale.

As the stocks, its stocks account for the rise Found some support After falling more than 8% on Thursday, the stock remained about 7% lower in the week and year. Analysts have To a large extent, it is still optimisticpointing out Nvidia’s strong perception of growing demand for AI.

Their optimism is because investors seem unsure of the way forward for the recent high-speed affluent stocks, which have increased their value by about half in the past 12 months. Chinese startup DeepSeek“Authorizing its AI model can keep up with U.S. competitors at a fraction of cost and a fraction of computing resources has increased the need for concern for Nvidia’s state-of-the-art chips, but several analysts say they believe NVIDIA Benefit from the From the emergence of DeepSeek and the competition is becoming increasingly fierce.

On Wednesday’s earnings call, CEO Jensen Huang said The demand for AI reasoning is accelerating With the advent of new AI models, yell at DeepSeek’s R1.

Huang said DeepSeek “has sparked global enthusiasm”, adding that “almost every AI developer” is applying R1 or adopting some innovations in DeepSeek. Huang said the next generation of AI may require greater computing power because applications may become more complex, so Next Generation AI may require more computing power and make it more complex.

Citi and JPMorgan analysts said they were relieved by comments calling on their comments on DeepSeek and the expected trajectory of computing demand. Wedbush analysts say they think Nvidia will eventually become a “DeepSeek beneficiary.”

Analysts at Bank of America believe that competition from China may also drive U.S. companies to be more pressing in AI development rather than shrinking spending. In recent revenue calls, several of NVIDIA’s big tech buyers, including Yuan ((Yuan), Microsoft ((MSFT), Amazon ((Amzn) and Google Parents letter ((GOOGL), and did do it – announcing plans to raise capital expenditures to fuel AI ambitions.