Analysts Remain Bullish On Nvidia Nvda As Ai Growth Outlook Holds

Bonisiwe Shabane

-Dec 31, 2025, 3:54 PM

analysts remain bullish on nvidia nvda as ai growth outlook holds

Chip giant Nvidia (NVDA) is considered to be one of the key beneficiaries of the artificial intelligence boom, thanks to robust demand for its advanced graphics processing units (GPUs). The stock has been under pressure recently due to concerns about valuations of AI plays and growing competition in the AI chip space from rivals like Broadcom (AVGO), Advanced Micro Devices (AMD) and Alphabet-owned... Nvidia is also facing uncertainty related to chip exports to China amid geopolitical tensions between Washington and Beijing. Despite ongoing pressures, several top analysts remain bullish on Nvidia for several reasons, including its solid track record, strong execution, continued innovation and dominant position in the AI GPU market. TipRanks' AI Analyst also has an "outperform" rating on NVDA stock with a price target of $205. Let's look at the views of three such Wall Street pros who are bullish on Nvidia's growth potential.

Following a virtual meeting with Nvidia's vice president of investor relations, Toshiya Hari, Bank of America analyst Vivek Arya reiterated a buy rating on NVDA stock with a price forecast of $275, saying that... NVIDIA (NVDA), a name once synonymous primarily with high-performance gaming graphics cards, has undergone a remarkable transformation. While its dominance in the gaming sector remains significant, the company’s strategic investments and technological advancements have propelled it into a leading position within the burgeoning artificial intelligence (AI) landscape, and even beyond. Wall Street's continued bullish sentiment towards NVIDIA reflects this multifaceted growth and its potential for sustained innovation. NVIDIA’s GPUs, initially designed for rendering complex graphics, have proven exceptionally well-suited for the parallel processing demands of AI workloads. This realization, coupled with substantial investment in AI-specific hardware and software, has established NVIDIA as a critical infrastructure provider for AI development across various industries.

The company's data center business, driven by demand for AI training and inference, has experienced explosive growth. Key factors contributing to this success include: "AI is the defining technology of our time, and NVIDIA is at the epicenter of this revolution." While AI is currently the primary growth driver for NVIDIA, the company is also actively pursuing opportunities in other emerging fields, including: Nvidia’s stock price hit a new record high on October 14, 2024, closing at $138.07, up 2.4% for the day. The surge puts the chipmaker within striking distance of overtaking Apple as the world’s most valuable company by market capitalization.

Nvidia’s market value reached $3.4 trillion, just shy of Apple’s $3.5 trillion valuation. The company’s stock has risen sharply in October, fueled by strong demand for its AI chips and positive analyst reports. The stock’s climb began on October 2 following news of a $6.6 billion funding round for OpenAI, much of which is expected to be spent on Nvidia’s AI chips. Wall Street analysts have reiterated their buy ratings on Nvidia shares, with KeyBanc estimating that revenues from Nvidia’s new Blackwell chips alone could reach $7 billion in the fourth quarter. Nvidia showcased its software offerings at its AI Summit in Washington, D.C., and announced plans with Foxconn to build Taiwan’s largest supercomputer. The company is also reducing its reliance on China by partnering with Foxconn to assemble servers using its Grace Blackwell chips in Mexico.

The semiconductor industry as a whole is seeing strong growth, with sales rising 28% in August from the prior year. Foxconn’s chair told Bloomberg Television that the company is boosting capacity to meet “crazy” demand for Nvidia AI chips. Daily stocks & crypto headlines, free to your inbox By continuing, I agree to the Market Data Terms of Service and Privacy Statement Nvidia stock (NVDA) has recently drawn attention as it continues to exhibit bullish trends, primarily driven by the burgeoning interest in artificial intelligence (AI). The company, widely recognized for its leading position in the GPU market, has become a focal point for investors looking to capitalize on the AI revolution.

In the latest trading session, Nvidia stock showed signs of yet another upward trajectory, indicating persistent investor confidence. Analysts suggest that as long as NVDA maintains its momentum, it could potentially reach the significant level of around $220 per share over the long term. This optimism stems from Nvidia’s critical role in AI developments, making it an attractive option for traders and investors alike. Nvidia’s Current Position: The stock appears set to open positively with many experts encouraging buying on short-term pullbacks. The established short-term floor near $150 has provided a safety net, enticing traders to consider strategic entry points into the market. Nvidia is not alone in the microchip sector, as its competitors Intel (INTC) and Advanced Micro Devices (AMD) also garner attention.

While Intel’s stock has experienced slight weakness in early trading, the overall outlook remains optimistic, as it is projected to overcome hurdles and break beyond the $27.50 mark. Investors are advised to watch for short-term pulls to capitalize on buying opportunities. On the other hand, AMD appears flat but is on the cusp of what analysts term a “golden cross,” a bullish indicator that often precedes significant price increases. Investors interested in AMD are encouraged to adopt a similar strategy of buying on dips as the stock transitions toward stronger performance.

Analysts Remain Bullish On Nvidia Nvda As Ai Growth Outlook Holds

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