NVIDIA (NVDA) Gets $220 Target on Strong AI Chip Demand, China Deal

NVIDIA Corporation (NASDAQ:NVDA) is one of the 10 AI Stocks Making Waves on Wall Street.  On August 11, Wells Fargo analyst Aaron Rakers raised the price target on the stock to $220.00 (from $185.00) while maintaining a Overweight rating.

The firm believes that the stock is poised for gains ahead. It also stated that it believes that renewed China sales and strong global demand could help push Nvidia higher.

Nvidia and AMD have reached an agreement with the US government that will allow them to resume selling certain artificial intelligence chips in China. In exchange, they will give the government 15% of the revenue from those sales.

NVIDIA (NVDA) Gets $220 Target on Strong AI Chip Demand, China Deal

An investment banker in a power suit entering an exclusive board room with a confident stride.

The analyst believes that this new arrangement could help Nvidia recover the full $8 billion in quarterly revenue, expecting the recovery to be complete by the company’s fiscal fourth quarter in January 2026. Demand from China may grow even further after that point.

The analyst also noted how recent trade data supports a stronger outlook for the sector, reflecting higher demand for servers and related technology used in artificial intelligence.

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 risk and potential of NVDA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than NVDA and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.