Nvidia Corp. investors are very interested in the company’s new Blackwell chip lineup right now, since there are rumors that orders might be a little late at first.
The latest quarterly results from Nvidia are coming next Wednesday. However, the attention will be on Hopper, the company’s current chip family. Rosenblatt Securities expert Hans Mosesmann thinks Nvidia NVDA 4.06% will have another “beat and raise” performance. However, he said that “how constrained the company is for Hopper platforms” will be the “wildcard.”
Investors used to worry that Nvidia would have a “air pocket” in the months before Blackwell came out. This meant that they thought there might be less interest in Hopper while people waited for Blackwell to start shipping. Mosesmann doesn’t think that’s a problem right now.
Shares of Nvidia are down 2% as of Thursday noon.
His writing said, “It’s interesting that we think we’re seeing a Hopper mid-cycle ‘kicker’ as hyperscalers move to liquid-cooled rack-scale implementations on ‘densification’ efforts” by Super Micro Computer Inc. SMCI 1.35% and others. A lot of power is needed for artificial intelligence, and companies need to keep their systems cool to get the most out of them. Mosesmann thought that Hopper “was not directly intended to need liquid cooling.”
Also, he isn’t worried about what would happen if Blackwell is late by a couple of months. He said that there was a good chance that the delay would have “a limited impact on Nvidia in what appears to be a significantly constrained environment.”
He’s also excited about the company’s networking business in another place. He wrote, “Interestingly, the new compute-centric SpectrumX Ethernet switch in networking is a blessing from management for the multi-billion-dollar business” in fiscal 2025. He kept his buy rating and price goal of $200 on the stock.
Citi Research analyst Atif Malik was usually positive, and he also had something to say about the report that was coming out.
“Street estimates are likely to go up,” he wrote, including for the October quarter. He also thinks the company will give Blackwell comments that reassures investors of the company’s strong financial prospects in 2025. Finally, he wants the stock to hit a new 52-week high. In other words, that would be a new all-time high.
Malik thinks that Nvidia’s stock is a good buy and sets a price goal of $150.
