Based on the latest price-target raise on Wall Street, Nvidia Corp.’s stock could go up by another 37%.
In a report released on Tuesday, KeyBanc Capital Markets analyst John Vinh raised his price target on Nvidia shares NVDA, +2.48% from $130 to $180. He did this because he was optimistic about the company’s new Blackwell chip lineup’s ability to bring in money. The GB200 chip from Nvidia, which is part of the Blackwell family, could bring in more than $200 billion for data centers in 2025, he said.
“Demand for AI has not stopped,” Vinh wrote.
At one point in the day, Nvidia stock was higher than the S&P 500 SPX. However, it fell from its daily highs. The stock did rise 2.5% on Tuesday, though. Vinh’s new price target means that the stock could go up by almost 40% from there.
Vinh also became more optimistic about Micron’s stock and other stocks.
He thinks that Samsung is having trouble getting qualified at [Nvidia] on HBM3e, a type of high-bandwidth memory, because of problems with performance and manufacturing yield. Which means the business is “not likely to have material share on Blackwell.” This could be good for Micron, Vinh said.
“We think this will help [Micron] gain an oversized share on HBM3e, which will probably be bigger than its traditional DRAM share,” he wrote, referring to dynamic random-access memory.
His price target for Micron went up from $160 to $165. Micron’s stock barely went up on Tuesday after losing some of its earlier gains.
But not all chip stocks went up on Tuesday. Shares of Advanced Micro Devices Inc. AMD, -0.89% went down 0.9% for the day. In the last two sessions, the stock went up 9%.
Vinh dropped his price target for AMD from $230 to $220, saying that there were “mixed” signals after talking to people in the Asian supply chain. However, he still has an overweight rating on the stock.
Vinh wrote, “Improving demand for traditional servers should be a tailwind for the continued ramp of Genoa.” He also said that he still sees demand for 500,000 MI300X graphics processing units.
On the other hand, he said, “negatives include: We think embedded demand remains weak and continues to see inventory destocking headwinds.”
