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Where Will Nvidia Stock Be In 5 Years Msn

Bonisiwe Shabane
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where will nvidia stock be in 5 years msn

Written by Will Healy for The Motley Fool-> Nvidia remains the dominant AI accelerator company, and its growth rate far surpasses industry averages. A natural slowing process and rising competition could temper growth expectations. Nvidia (NASDAQ: NVDA) has continually surpassed market expectations. Over the last three years, the stock has come out of nowhere to become the world's largest company as measured by market cap. Even though it pulled back after reaching the $5 trillion market cap milestone, the recent $4.4 trillion market cap is massive by any measure.

Shares of Nvidia Corp. (NASDAQ: NVDA) have popped 5.2% in the past week, after it announced it would begin shipping H200 chips to China in February and that it would invest $1.5 billion on a server farm in... Nvidia’s stock is 30.2% higher than six months ago, outperforming the S&P 500 and Nasdaq in that time. Note that gains for the chipmaker in that time have helped wipe away the steep drop the stock suffered early in 2025, after it reported it would take a $5.5 billion charge tied to... While some analysts have raised price targets, others caution about ongoing headwinds due to uncertainty surrounding future U.S.-China trade relations and the potential for stricter regulations. The third-quarter report was stellar on the top and bottom lines due to strong growth in the data center segment.

Despite its challenges, the company’s pivot to U.S. AI infrastructure investments signals resilience. With analysts eyeing robust data center demand, 24/7 Wall St. here explores whether Nvidia can sustain its recovery and drive further growth. Nvidia faces significant hurdles as it navigates U.S.-China trade restrictions and intense market expectations. In the first quarter, export controls on its H20 AI chip—which had been designed specifically to circumvent export restrictions on advanced technology to China—led to the substantial write-down noted above.

Analysts believed the ban could result in a $9 billion revenue hit. Some $700 million would affect fiscal first-quarter results, with the remaining $8 billion spread across the second and third quarters. U.S. tariffs and China’s retaliatory measures also threatened supply chain costs, particularly for components sourced globally, while competition from Huawei’s Ascend chips grows. These factors had analysts warning of margin pressure. Yet, Nvidia’s profitability remains robust.

The company has reportedly raised prices 10% to 15% on some of its most popular GPUs as a result of the tariffs. Gaming processor prices jumped 5% to 10%, while it hiked high-end AI GPUs as much as 15% to account for surging manufacturing costs and to keep its earnings stable. Nvidia (NASDAQ: NVDA) stock has been under pressure this year on account of various factors, such as the tariff-fueled trade war, concerns about rising competition in the market for artificial intelligence (AI) accelerator chips,... restrictions on chip exports, and fears of a potential slowdown in spending on AI infrastructure. However, the company's latest quarterly results show that it's continuing to grow nicely. Nvidia released its results for its fiscal 2026 first quarter (which ended April 27) on May 28.

The company's revenue and earnings were better than Wall Street's expectations, despite its business taking a hit due to the export controls that blocked sales of its H20 processors to China. The data center business was once again the driving force behind Nvidia's impressive results, growing 73% year over year and accounting for 89% of its top line. But at the same time, the company also benefited from the growing adoption of its chips in two other areas. In fact, a closer look at the semiconductor specialist's growth drivers suggests that it is set to benefit from the proliferation of AI in multiple end markets, which could help the stock sustain its... The data center business is the cornerstone of Nvidia's growth. Worth noting is that it is growing at a healthy pace despite restrictions on sales of the company's chips to China, which cost Nvidia several billions of dollars in lost revenue last quarter.

CEO Jensen Huang pointed out that those export controls have effectively closed the $50 billion AI chip market in China to Nvidia. But that shouldn't matter a lot in the long run, as global investment in AI infrastructure is expected to hit a humongous $7 trillion by 2030, according to a forecast by McKinsey, with nearly... This huge outlay on AI infrastructure will be driven by multiple factors, such as an increase in inference and training workloads, the adoption of AI applications across various industries and applications, and investments by... We are experiencing some temporary issues. The market data on this page is currently delayed. NVIDIA Corporation, a computing infrastructure company, provides graphics and compute and networking solutions in the United States, Singapore, Taiwan, China, Hong Kong, and internationally.

The Compute & Networking segment includes its Data Centre accelerated computing platforms and artificial intelligence solutions and software; networking; automotive platforms and autonomous and electric vehicle solutions; Jetson for robotics and other embedded platforms;... The Graphics segment offers GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU or... It also customized agentic solutions designed in collaboration with NVIDIA to accelerate enterprise AI adoption. The company's products are used in gaming, professional visualization, data center, and automotive markets. It sells its products to original equipment manufacturers, original device manufacturers, system integrators and distributors, independent software vendors, cloud service providers, consumer internet companies, add-in board manufacturers, distributors, automotive manufacturers and tier-1 automotive suppliers,... NVIDIA Corporation was incorporated in 1993 and is headquartered in Santa Clara, California.

Nvidia continues to strengthen its position in the AI chip market through strategic partnerships and acquisitions, notably with Groq for $20 billion. Analysts remain optimistic, projecting a price target of $250 amid strong demand for AI products, despite facing regulatory challenges. On Morning Brief, Yahoo Finance Executive Editor Brian Sozzi breaks down the biggest developing market stories on December 26, 2025. Sozzi reports the latest on the big deal between Nvidia (NVDA) and AI chip startup Groq (GROQ.PVT). He also shares his 2026 investing resolutions and speaks with Steward Partners Global Advisory partner Jason Bottenfield about what he is watching heading into the new year. To watch more expert insights and analysis on the latest market action, check out more Morning Brief.

Trailing total returns as of 12/26/2025, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC) .

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