Being a Wall Street analyst for Nvidia (NASDAQ:NVDA) is challenging these days. Over the past year, the technology company’s share price has rapidly increased by 244%, with 82% of those gains being made in 2024. This speed has demanded frequent updates to financial models. Among those adjusting their predictions recently is Vivek Arya of Bank of America.
Arya holds 12th place among Wall Street analysts because of his accurate stock forecasting. He has adjusted his price target for Nvidia to $1100, which suggests it could increase by yet another 25% in the coming year. Arya maintains a “Buy” rating on the stock.
This updated forecast coincides with Nvidia’s upcoming GPU Tech Conference (GTC). Participants, including Arya and other shareholders, look forward to discovering the latest updates.
Arya anticipates that the GTC will present opportunities for Nvidia to reveal new products and services. Additionally, there will be discussions about the rising demands for and challenges of AI computing power.
Furthermore, Arya expects Nvidia to discuss the opportunities for expanding its total addressable market. Emerging opportunities with smaller web-based companies, like CoreWeave and Lambda Labs, as well as various nations, are presenting potential billion-dollar ventures. The analyst notes that AI capabilities are increasingly critical for countries developing tools for applications such as cybersecurity and academic research.
The majority of Wall Street analysts share Arya’s bullish outlook on Nvidia. Despite two neutral ratings, 39 other reviews are positive. Therefore, the consensus is a strong “Buy”. However, with an average price target of $905.74, shares may remain somewhat stable for now, but may more analysts will update their models soon. (See Nvidia stock forecast)
Vocabulary:
Wall Street analyst: A professional who conducts research and analysis on companies and industries and provides recommendations based on their findings.
Nvidia: An American multinational technology company incorporated in Delaware and based in Santa Clara, California. Nvidia is known for developing graphics processing units (GPUs) and AI technologies.
Stock forecasting: The use of a system or model to estimate the future value of a specific stock or financial product, based on past and current data.
AI: Acronym for “Artificial Intelligence”. It refers to the capabilities of a machine or system to imitate intelligent human behavior, such as learning and problem solving.
Nvidia Stock Forecast: An estimation or prediction about the future prices of Nvidia’s stock based on past and present financial data.
Vocabulary List:
- Analyst (noun): A person who examines and interprets data and provides insights or recommendations.
- Forecasting (noun): The act of making predictions or estimates about future trends or events.
- Tech (noun): Short for technology; refers to the application of scientific knowledge for practical purposes.
- Shareholder (noun): A person or organization that owns shares in a company.
- Bullish (adjective): Having a positive outlook on the future growth or performance of a security sector or market.
- Neutral (adjective): Not favoring any particular side or viewpoint; unbiased.
