Stock Market

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

Source: Below the Sky /

Love continues to pour in for Nvidia (NASDAQ:NVDA) stock following its recent stock split. This morning KeyBanc raised its price target on the chipmaker from $130 per share to $180, implying an upside of 40% from its July 8 closing price near $129. KeyBanc maintained its “overweight” rating on the stock.

According to analyst John Vinh, the new forecast comes from continued optimism surrounding the launch of Nvidia’s Blackwell series chips, due later this year, as well as strong demand for its data-center-optimized processors

“Positive takeaways for NVDA include: 1) despite the impending launch of Blackwell in 2H24, we are not seeing any signs of a demand pause as demand for H100 remains robust, as we continue to see rush orders; and 2) the interest and demand in GB200 is greater than we initially had sized, as the majority of the mix is expected to be NVL72 vs. NVL36. As such, we believe current demand for GB200 should support data center revenues of over $200B in 2025,” Vinh noted.

KeyBanc also pointed out that traditional server demand is experiencing a notable uptrend, in large part due to U.S. cloud service providers like Meta (NASDAQ:META) and Microsoft (NASDAQ:MSFT). The firm expects AI server shipments to grow 150% in 2024.

And KeyBanc is far from alone. Wolfe Research and UBS also recently raised their price targets on NVDA to $150 per share, implying 16% upside.

NVDA Stock Climbs Amid Slew of Analyst Upgrades

Nvidia remains one of the biggest winners in the stock market this year, with NVDA stock is up nearly 170%, overtaking the likes of Apple (NASDAQ:AAPL) and Microsoft in market capitalization. This year’s AI wave has proven particularly beneficial to the chipmaker.

Strong earnings and growing demand for semiconductors has put Nvidia on the top of many investors’ lists. This includes the likes of California Congresswoman Nancy Pelosi, whose husband purchased shares of NVDA last month, adding to her already robust portfolio.

Another key catalyst to note is Nvidia’s 10-for-1 stock split that occurred on June 7.

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 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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