On Thursday, Wedbush Securities adjusted its outlook on NVIDIA Corporation (NASDAQ:NVDA) stock, increasing the price target from $160.00 to $175.00. The firm maintained an Outperform rating. The adjustment follows NVIDIA's recent updates on its Blackwell product's progress and the resolution of potential concerns.
Wedbush's analysis highlights the rapid anticipated ramp-up of Blackwell, NVIDIA's latest technology offering. NVIDIA management has addressed and dismissed concerns regarding system overheating issues that could potentially slow down production or shipments.
The company assured that several customers have already implemented GB200 systems or announced plans to launch GB200 instances, indicating that systems will be operational soon.
According to Wedbush, NVIDIA's management has also noted that the demand for Blackwell is expected to outpace supply for multiple quarters. This situation suggests a strong and sustained interest in the product, which is likely to continue driving NVIDIA's performance.
Wedbush believes that investor worries about potential demand fluctuations in the calendar year 2025 have been mitigated, reinforcing the view that demand-related risks should remain minimal through the fiscal year 2025.
The commentary from NVIDIA's management is seen as a positive reinforcement for the company's execution capabilities regarding Blackwell. The demand for this new technology is robust, and NVIDIA appears well-positioned to meet the challenges associated with its production and distribution.
The increased price target reflects Wedbush's confidence in NVIDIA's ongoing success and its ability to capitalize on the high demand for its Blackwell product in the near future.
In other recent news, NVIDIA has reported record-breaking total revenue of $35.1 billion, marking a 94% increase from the previous year, largely due to robust demand for AI infrastructure.
Data center revenues have climbed to approximately $30.8 billion, contributing significantly to the financial success. The successful launch of NVIDIA Hopper and the Blackwell architectures have also played a part in the company's financial achievements.
Analysts from Truist Securities, Piper Sandler, TD Cowen, Cantor Fitzgerald, Baird, Raymond (NS:RYMD) James, and Mizuho (NYSE:MFG) have all recently maintained positive ratings on NVIDIA, with price targets ranging from $170 to $195.
NVIDIA anticipates a Q4 revenue of $37.5 billion and expects a temporary dip in gross margins during the Blackwell product ramp, but projects a return to mid-70s margins shortly. These recent developments underscore NVIDIA's strong financial performance and its strategic position within the rapidly expanding AI industry.
InvestingPro Insights
NVIDIA's strong market position and financial performance are further underscored by recent data from InvestingPro. The company's market capitalization stands at an impressive $3.56 trillion, reflecting its dominant position in the semiconductor industry. NVIDIA's revenue growth has been nothing short of extraordinary, with a 194.69% increase over the last twelve months as of Q2 2025, aligning with Wedbush's optimistic outlook on the company's Blackwell product demand.
InvestingPro Tips highlight NVIDIA's financial strength and market leadership. The company boasts a perfect Piotroski Score of 9, indicating robust financial health. Additionally, NVIDIA has maintained dividend payments for 13 consecutive years, demonstrating its commitment to shareholder returns even as it invests heavily in innovation.
The company's gross profit margin of 75.98% for the last twelve months ending Q2 2025 is particularly noteworthy, supporting Wedbush's confidence in NVIDIA's execution capabilities. This high margin suggests that NVIDIA has significant pricing power and efficiency in its operations, which could be crucial as it ramps up production of the Blackwell product line.
For investors seeking more comprehensive analysis, InvestingPro offers 22 additional tips on NVIDIA, providing a deeper understanding of the company's financial health and market position.
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