One Wall Street Analyst Says Nvidia Stock Is Up 38%.

Shares of Nvidia (NASDAQ: NVDA) have soared 76% so far this year, but KeyBanc analysts think the demand for the company's data center chips might sustain even higher levels.  

The company discovered indications of high demand for Nvidia's AI-optimized GB200 super processor after investigating the company's supply chain  

KeyBanc kept the shares' overweight (buy) rating but increased the price objective from $1,100 to $1,200, implying a nearly 38% gain from the present $871 share price over the next twelve months or so.  

Nvidia stock: why should you invest? Over three quarters of Nvidia's revenue now comes from its data center business, following a year of sales growth of 200% or more. Although the company's current rate of growth will inevitably level down, Wall Street anticipates strong revenue in the years ahead  

In order to maintain its position as an industry leader, Nvidia has a solid plan for releasing new technology. Nvidia's GB200 rack computing systems, which integrate the company's Grace CPUs with Blackwell GPUs, are expected to be highly sought after by analysts at KeyBanc.  

Their predicted average selling prices range from $1.5 million to $2 million reflects this high demand.

The total yearly revenue that Nvidia's GB200 may produce is anything from $90 billion to $140 billion. The general consensus predicts that Nvidia's total revenue would exceed $160 billion by calendar year 2026, so this makes sense.  

If the semiconductor industry's overall recovery doesn't get derailed, Nvidia stock should be fine and might reach the analyst's price objective in a year or two.  

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