Analyst Joseph Moore has adjusted his earnings projections for Nvidia upwards following positive channel checks in Taiwan and China. These checks revealed sustained strong demand for Nvidia’s Hopper series products.
Moore, however, expressed caution regarding the upcoming transition to Nvidia’s next-generation Blackwell series products later this year. In a client note, he acknowledged, “It is clear that we are at the tail end of the Hopper cycle, and the frothiness and visibility is lower than it was.” He also highlighted potential challenges in ramping up production for the complex Blackwell series.
Nvidia Stock Receives Price-Target Increase
Maintaining his overweight (buy) rating on Nvidia stock, Moore raised his price target from 116 to 144. This new target surpasses Nvidia’s previous all-time high of 140.76, recorded on June 20.
On the stock market today, Nvidia shares saw a modest 0.6% increase, closing at 124.30.
On May 23, Nvidia stock broke out of a 10-week consolidation pattern, achieving a buy point of 97.40, according to IBD MarketSurge charts.
“We aren’t advocating aggressive buying at current levels given the sharp appreciation since the last earnings report,” Moore cautioned. However, he emphasized that Nvidia remains a compelling choice within the AI semiconductors sector. “As we transition from H100 to H200 and then Blackwell, visibility and backlog will improve materially,” he added.
Moore concluded, “We maintain a conservative outlook beyond a 12-month horizon, considering the rapid increase in AI capital expenditures amidst uncertain returns.”
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