Nvidia Stock Gains as Analysts Lift Targets on Strong Demand for AI Platform

Nvidia (NVDA) shares climbed Monday arsenic analysts lifted their value targets for nan stock, citing "exceedingly robust" request for nan chipmaker's upcoming Blackwell platform.

Shares of Nvidia surged complete 3% to supra $130 earlier paring backmost immoderate gains successful early trading Monday aft UBS analysts boosted their value target for nan banal to $150 from $120, while Wolfe Research analysts lifted their nonsubjective to $150 from $125.

'Exceedingly Robust' Demand for Nvidia's Blackwell

UBS analysts reported supply chain checks indicated "demand momentum for Blackwell rack-scale systems remains exceedingly robust" arsenic Nvidia useful to fortify its supply.

They added that request for Nvidia's information halfway components is "in portion being driven by nan enhanced powerfulness efficiency" amid concerns astir powerfulness constraints affecting artificial intelligence (AI) computing.

Wolfe Research analysts besides said their expectations improved arsenic "recent proviso concatenation checks show a way to 50%+ contented maturation for NVDA GPUs" successful 2025.

Big Tech's Rising AI Spend Supports Demand Growth

UBS analysts said nan bid pipeline for Nvidia's information halfway computing units is "materially larger than conscionable 2 months agone arsenic hyperscaler budgets for C2025 patient up."

Microsoft (MSFT), Alphabet (GOOGL), Meta (META), and Amazon (AMZN) person told investors they are increasing capital expenditures to put successful AI infrastructure, pinch Goldman Sachs analysts projecting that large tech companies are group to collectively walk complete $1 trillion connected AI complete nan adjacent 5 years.

The UBS analysts highlighted Microsoft arsenic a apical customer for Nvidia's Blackwell AI information halfway components.