Top 5 Stocks to Buy for Long Term

2. NVIDIA Corporation (NASDAQ:NVDA)

Stock Upside Potential: 42.32%

Number of Hedge Fund Holders: 275

NVIDIA Corporation (NASDAQ:NVDA) is one of the top stocks to buy for the long-term. On May 21, Baird reiterated an Outperform rating on NVIDIA Corporation (NASDAQ:NVDA) and raised the price target to $500 from $300. The price target hike is in response to impressive first-quarter results that showed significant growth, as the company benefits from growth in Hyperscale artificial intelligence capex.

The company’s Chief Executive Officer, Jensen Huang, has already reiterated that the company is well-positioned to capitalize on the build-out of AI factories. The executive expects the company to keep up its blockbuster growth and achieve $1 trillion in sales from its flagship AI chips. “We should be growing faster than hyperscale capex,” Huang said.

NVIDIA achieved an 85% year-over-year revenue increase in Q1 to $81.62 billion. It expects the growth momentum to continue in Q2, with revenue projected at $91 billion, plus or minus 2%. Net income in the first quarter was up 139% to $45.54 billion, translating to diluted earnings per share of $1.87.

NVIDIA Corporation (NASDAQ:NVDA) designs and manufactures specialized computer chips—primarily GPUs (Graphics Processing Units)—that power the world’s most demanding computing tasks. While originally famous for rendering high-end video game graphics, Nvidia is now the global backbone for Artificial Intelligence (AI), data centers, and advanced robotics.