Nvidia (NVDA) shares surged to a new all-time high on Monday following a bullish update from investment bank Goldman Sachs. Analyst Toshiya Hari raised the 12-month price target on Nvidia stock to $800 from $625, reiterating a buy rating and maintaining the company on the firm’s “conviction list” of top stock picks.
On the stock market today, Nvidia stock closed up 4.8% at $693.32, hitting a record high of $694.97 earlier in the session.
Hari cited several factors driving Nvidia’s potential growth, including robust demand for AI server technology and improvements in GPU supply. He also raised earnings estimates for fiscal 2025 and 2026, signaling optimism about the company’s future performance.
In particular, Hari highlighted the sustained investment in AI-powered data centers by major cloud service providers such as Meta Platforms (META) and Microsoft (MSFT). He noted that these companies are demonstrating early signs of AI monetization, further bolstering Nvidia’s prospects in the AI chip market.
While acknowledging the progress made by rival Advanced Micro Devices (AMD), Hari maintained that Nvidia remains the “gold standard” for AI technology, citing its superior hardware and software offerings and its ongoing pace of innovation.
Looking ahead, the next potential catalyst for Nvidia stock will be the company’s fiscal fourth-quarter earnings report, scheduled for Feb. 21.
Nvidia stock has been a standout performer, breaking out of a flat base at a buy point of $505.48 on Jan. 8. Despite exceeding the typical profit-taking thresholds, the stock remains on five IBD stock lists, including the IBD 50, Leaderboard, Big Cap 20, Sector Leaders, and Tech Leaders.
Investors will continue to monitor Nvidia’s performance closely as the company navigates the evolving landscape of AI technology and semiconductor markets.
For more insights on consumer technology, software, and semiconductor stocks, follow Patrick Seitz on X, formerly Twitter, at @IBD_PSeitz.
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