Barclays Says Nvidia (NVDA) Has the Most Upside in Its Coverage—Here’s Why

NVIDIA Corporation (NASDAQ:NVDA) is one of the 10 AI Stocks Getting Wall Street’s Attention. On June 17, analyst Thomas O’Malley at Barclays raised his price target on the stock from $170 to $200 while maintaining an “Overweight” rating. The new target reflects significant upside potential for Nvidia in the second half of the year, backed by robust demand across the company’s supply chain.

The rating affirmation asserts that Barclays continues to feel optimistic about NVIDIA’s market potential and performance trajectory. Conducting checks with the supply chain after first-quarter earnings, the firm has identified approximately “$2 billion in upside in July for Nvidia vs. Street numbers.” This has led to a lift in its full-year Compute revenue estimate to $37 billion from $35.6 billion.

Even though Blackwell’s capacity at an estimated 30,000 wafers per month in June fell short of the firm’s expectations of 40,000 wafers, the firm asserted that “utilizations are healthy, and the supply chain sounds positive on the 2H of the year.”

Meanwhile, Blackwell Ultra is on track, and its mass production is scheduled for the third quarter. According to analysts, “both Ultra and higher volume should help gross margins (GMs) in the 2H.” The firm has therefore revised its Compute revenue forecasts for the third and fourth calendar quarters to $42 billion and $48 billion, respectively. This is above its prior projections and the Street consensus.

“Even with the recent run, this name has the most potential upside in our coverage for the 2H and we raise our PT to $200.”

-Analysts led by Tom O’Malley.

NVIDIA Corporation (NASDAQ:NVDA) specializes in AI-driven solutions, offering platforms for data centers, self-driving cars, robotics, and cloud services.

While we acknowledge the potential of NVDA as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 10 AI Stocks on Wall Street’s Radar and 15 AI Stocks Making Waves on Wall Street.

Disclosure: None.