Nvidia (NASDAQ:NVDA) recently gave investors further proof that rising demand for its data center products powering artificial intelligence (AI) applications was carrying more weight. This helped persuade Rosenblatt analyst Hans Mosesmann to continue recommending investors buy the stock.
His firm’s $1,400 price target for Nvidia stock remains one of the highest on Wall Street. That’s up about 34%, even after Nvidia’s shares rose following its first-quarter fiscal 2025 results. Nvidia shares have now more than doubled in 2024.
Nvidia still exceeds expectations
The strength of Nvidia’s AI sector is no secret to investors. Expectations have been high, but the company continues to beat Wall Street’s estimates and its own. Consider that the quarter ended April 28 marked the fourth consecutive quarter in which the company beat its own revenue forecast by at least $2 billion.
Year-on-year, revenue by business sector increased as follows:
As the company expands across the board, its data center AI business is currently driving the stock. Mosesmann believes this will continue, with the company beating expectations as Nvidia projects another significant increase in sales in the current fiscal quarter.
Nvidia wants even more of the AI pie
Some investors believed near-term demand would decline as customers waited for the more powerful Blackwell architecture. But it’s clear that hasn’t happened, and Blackwell’s shipments are expected to begin before the end of this year. In the earnings release, Nvidia CEO Jensen Huang said: “We are ready for our next wave of growth. The Blackwell platform is in full production. »
The runway for growth in AI spending appears to be long. And Nvidia continues to innovate in other areas as well. The company wants to always offer more value to customers. It includes software solutions in its server stack offerings.
This makes me think that the $1,400 price target will just be a stop on the path to even higher prices.
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Howard Smith holds positions at Nvidia. The Motley Fool Ranks and Recommends Nvidia. The Motley Fool has a disclosure policy.
Will Nvidia stock hit $1,400? 1 Wall Street analyst thinks so. was originally published by The Motley Fool
News Source : finance.yahoo.com
Gn bussni
