UBS Just Raised Its Price Target on Nvidia (NVDA) Stock

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  • Nvidia (NVDA) stock is up 2% after UBS raised its price target to $150 per share.
  • Analysts were impressed by Nvidia’s recent supply check that confirms sustained demand for the company’s semiconductors.
  • NVDA stock has enjoyed a remarkably strong 2024, up more than 160% so far this year.
NVDA stock - UBS Just Raised Its Price Target on Nvidia (NVDA) Stock

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Nvidia (NASDAQ:NVDA) stock is in the green to start the week after UBS analysts raised the price target on the chipmaker. Indeed, UBS raised its NVDA stock price target to $150 per share from $120 while reiterating its “buy” rating.

“We now believe EPS of ~$5 could be doable for C2025 as the order pipeline for NVL72/36 systems is materially larger than just two months ago as hyperscaler budgets for C2025 firm up,” analysts noted. “This comes as sentiment on the stock – though still strong – has faded somewhat in recent weeks, creating more of a ‘wall of worry’ that should be ultimately healthy if our outlook materializes.”

With Nvidia’s current $128 per share price, the firm’s $150 price target implies roughly 17% upside.

“Given all of this, we believe a $150 PT can be supported (prior $120), and we maintain our Buy rating as we roll our valuation basis forward from C2025 EPS to an average of C2025/C2026 (which we model flattish at this point given visibility that is still a bit limited,” said UBS.

NVDA Stock Continues to Rally Following Stock Split

UBS’ optimism isn’t without precedent. In fact, Nvidia has been one of the single-strongest performers in the market this year.

Indeed, NVDA stock is up a staggering 167% so far this year as one of the biggest leaders of this year’s artificial intelligence (AI) craze. Since the start of 2023, NVDA is up more than 760%.

With strong earnings figures to boot and strong future growth expectations, the chipmaker surpassed even the likes of Microsoft (NASDAQ:MSFT) and Apple (NASDAQ:AAPL) by market capitalization this year.

Since its 10-for-1 stock split on June 7, Nvidia has only continued to soar. Shares are up nearly 6% in just the past month.

Investors are currently eagerly awaiting the company’s upcoming quarterly earnings report, which are estimated to release next month on Aug. 28.

On the date of publication, Shrey Dua held a LONG position in NVDA. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.

With degrees in economics and journalism, Shrey Dua leverages his ample experience in media and reporting to contribute well-informed articles covering everything from financial regulation and the electric vehicle industry to the housing market and monetary policy. Shrey’s articles have featured in the likes of Morning Brew, Real Clear Markets, the Downline Podcast, and more.


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