HSBC Analyst Sees Nvidia Stock Climbing Another 50% On Strong Pricing Power, AI Roadmap
Portfolio Pulse from Vaishali Prayag
HSBC Global Research maintains a Buy rating on Nvidia Corp (NVDA) and raises its 12-month price target to $1,350, citing strong pricing power and a promising AI roadmap. Analyst Frank Lee predicts significant revenue growth by FY26, driven by server rack systems NVL36/NVL72 and GB200 platform. Despite potential uncertainties in GPU product transitions, HSBC sees Nvidia's long-term growth prospects as robust, with the stock expected to climb another 50%.
May 13, 2024 | 6:40 pm
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HSBC's Buy rating and raised price target to $1,350 reflect confidence in Nvidia's long-term growth, driven by strong pricing power and an ambitious AI roadmap. Despite short-term earnings uncertainties, the firm sees a 50% upside potential.
HSBC's analysis and the raised price target suggest a strong belief in Nvidia's market position and future revenue growth, particularly from its server rack systems and AI roadmap. The anticipation of surpassing earnings estimates and the projection of significant revenue by FY26 underline the potential for stock price appreciation. However, the mention of limited room for significant earnings upside in the next two quarters introduces a note of caution, suggesting that while the long-term outlook is positive, short-term gains might be more modest.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100