What will happen to NVIDIA in the future? Target stock price increases one after another due to Wall Street

Bank of America analyst Vivek Arya said that NVIDIA's target stock price will start at $650$700Raise it up to,“buy”The rating of was maintained. According to him, NVIDIA remains in the top 25% of the process of transforming global computing infrastructure worth approximately 250 billion dollars into accelerated computing centered on artificial intelligence. Analysts believe there is a possibility that the company will make profits of as much as $40 per share by 2027. However, since NVIDIA's stock price has risen 240% so far this year, it is also acknowledged that “there is a possibility that short-term volatility will occur.”

City analyst Atif Malik said there is a possibility that stock prices will fluctuate as NVIDIA faces a harsher year-on-year ratio next year, especially in the data center business. He said that the consumer electronics show in January and the GTC conference in March will be “the next big catalysts,” and NVIDIA will make a “special presentation” at the show. He is NVIDIA's“buy”Ratings have been maintained, and target stock prices$575It is.

Financial results and information for 23Q3
Sales of the financial results for the 3rd quarter of the 2024 fiscal year (fiscal year ending 23/8/10) announced by the company on November 21 compared to the same period last year$18.12 billion, about three times(approximately 2.69 trillion yen)Hit a new record highI did it. What is net profitApproximately 14 times more than $9.243 billion(Approximately 1.37 trillion yen), which was also a record high. Both sales and net profit exceeded market expectations. Also, the sales forecast for the fiscal year ending 23/11 to 24/1 announced on the same day was approximately 20 billion dollars (about 2.97 trillion yen), which exceeded market expectations of about 18 billion dollars.

Stock price performance
Despite strong performance and forecasts, NVIDIA's stock price fell due to overtime trading.

This seems to be because investors focused on the only flaw in the financial results report. NVIDIA's Chief Financial Officer Colette Kress (CFO) indicated in a note on financial statements that sales of NVIDIA's data centers for Chinese companies are expected to decline “significantly” due to new US regulations, but strong growth in other regions will more than make up for it.

NVIDIA is working on semiconductor specification changes that do not conflict with export restrictions, and new semiconductors for China were announced simultaneously on the 21st. According to Mr. Curso, it is expected to contribute to the pick-up.

This article uses automatic translation in part
Source: Bloomberg, Moomoo, NVIDIA IR, Nihon Keizai Shimbun, Forbes
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