1 Wall Street Analyst Thinks Nvidia Stock Is Going to $175. Is It a Buy?
Nvidia (NASDAQ: NVDA) stock has been volatile lately. Following recent sell-offs driven by geopolitical risk factors and some disappointing earnings reports from other big tech companies, Nvidia stock has fallen more than 16% from its high.
But recent coverage published by Loop Capital suggests that Nvidia could be poised for a rebound and rally over the next year. In a note published July 22, the firm's lead analyst on the stock, Ananda Baruah, reiterated a buy rating on the artificial intelligence (AI) leader. Baruah also raised his one-year price target on the stock from $120 per share to $175 per share. With the stock priced at $114.25 per share as of this writing, the new target would suggest an upside of 54% over the next 12 months.
In Loop Capital's recent write-up on Nvidia, Baruah said that he thinks Nvidia has the potential to significantly outperform Wall Street's expectations. In particular, the analyst thinks that the company's data center segment could deliver revenue of between $215 billion and $240 billion -- far ahead of the average analyst estimate's call for sales of $145 billion. Baruah also thinks that the AI leader's compute segment can deliver sales of between $200 billion and $225 billion -- ahead of the average Wall Street target's call for sales of $132 billion.
Source Fool.com
