We recently published a list of 10 AI Stocks Gaining Wall Street’s Attention. In this article, we are going to take a look at where NVIDIA Corporation (NASDAQ:NVDA) stands against other AI stocks gaining Wall Street’s attention.
One of the biggest analysts calls on Tuesday, May 27, was for Nvidia Corporation. Piper Sandler reiterated the stock as “Overweight” with a $150 price target. The firm said it’s sticking with the stock ahead of earnings on Wednesday. NVIDIA Corporation specializes in AI-driven solutions, offering platforms for data centers, self-driving cars, robotics, and cloud services.
Analyst Harsh Kumar expects NVIDIA to witness a flat to downward trend leading up to its earnings report, which is scheduled for tomorrow. Some reasons for the potential revenue shortfalls in the April quarter are macroeconomic uncertainties and the H20 chip ban. There is also the news of a new China-specific chip, anticipated towards the end of the July quarter.
A close-up of a colorful high-end graphics card being plugged in to a gaming computer.
The said chip may influence the company’s guidance for July. Despite these near-term challenges, Kumar is optimistic about the latter half of the year on the back of strong high-performance computing (HPC) capital expenditure and improving macroeconomic conditions. The firm advises investors to stay optimistic about NVIDIA’s long-term performance despite short-term headwinds.
“We advise investors to weather the uncertainty and stay long the stock as this is likely largely the last wave of negative news for NVDA this year. Reiterate OW rating.”
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This article is originally published at Insider Monkey.
