On Wednesday, Bernstein analysts maintained an Outperform rating on shares of NVIDIA Corporation (NASDAQ:NVDA), with a steady price target of $175.00. This aligns with the broader Wall Street sentiment, as 34 analysts have recently revised their earnings estimates upward, with price targets ranging from $130 to $220.
The endorsement follows NVIDIA's recent keynote at the Consumer Electronics Show (CES), which showcased a range of new products and partnerships.
Rasgon praised the presentation, noting NVIDIA CEO Jensen Huang's effectiveness in delivering an engaging keynote. While acknowledging the limited updates on the datacenter business, Rasgon pointed out that CES is not typically the venue for such announcements, with the GPU Technology Conference (GTC) being more appropriate for that segment.
The company's strong market position is reflected in its impressive 152% year-over-year revenue growth and industry-leading 76% gross profit margin.
NVIDIA's announcements at CES included the launch of the new 50XX series gaming cards, a new autonomous vehicle partnership with Toyota (NYSE:TM), advancements in robotics and physical AI with Cosmos and Omniverse, and the unveiling of the DIGITS AI developer workstation. These developments, according to Rasgon, provide sufficient cause for continued investor enthusiasm. InvestingPro analysis reveals the company maintains a perfect Piotroski Score of 9, indicating exceptional financial strength.
The Bernstein team believes that NVIDIA is not only meeting current industry demands but is also actively shaping future trends. The reaffirmed Outperform rating and $175 price target reflect the firm's confidence in NVIDIA's trajectory and its potential to influence the industry's direction. According to InvestingPro Fair Value analysis, NVIDIA appears to be trading near its Fair Value, with over 20 additional financial insights available to subscribers.
In other recent news, NVIDIA has demonstrated substantial financial prowess with revenue reaching $113.27 billion and industry-leading gross margins of 75.86%. The company's advancements in artificial intelligence (AI) were highlighted at the Consumer Electronics Show (CES), extending NVIDIA's reach beyond its established data center market. Despite this, DA Davidson maintained a Neutral stance on NVIDIA shares, with a price target of $135.
In recent developments, Uber Technologies Inc . (NYSE:UBER) announced a partnership with NVIDIA, aiming to advance autonomous vehicle (AV) technology through AI. This collaboration was endorsed by BofA Securities, which maintained a Buy rating on Uber stock with a price target of $96.00. NVIDIA's CEO, Jensen Huang, also expressed readiness to meet with the US President-elect to discuss AI policy.
Aurora Innovation announced a strategic partnership with Continental and NVIDIA aimed at deploying driverless trucks at scale. The collaboration will integrate NVIDIA's DRIVE Thor system-on-a-chip into Aurora's autonomous driving system, with mass manufacturing slated to begin in 2027. Meanwhile, Benchmark has maintained a Buy rating on NVIDIA's stock, citing the company's dominance in the AI chip market and robust financial performance.
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