Wall Street analysts said Nvidia’s AI dominance remains intact.
- Ives sees Nvidia’s earnings estimates as potentially 20%-30% too low over the next year.
- Enterprise AI and physical AI applications are broadening demand beyond hyperscalers.
- Retail sentiment for NVDA shifted to ‘bullish’ from ‘neutral.’
Nvidia Corp. (NVDA) shares climbed 2.1% on Monday, hitting a fresh all-time high, and inched slightly higher overnight, with veteran tech analyst Dan Ives backing the bull case and arguing that Nvidia remains the key hardware engine behind the AI boom.
“There’s one chip in the world fueling the AI revolution,” Ives said in an interview with CNBC. “It comes down to there’s one chip in the world fueling, and that’s Nvidia.”
Ives said Wall Street estimates for Nvidia could be materially too low, with investors increasingly realizing that numbers may be underestimated by 20% to 30% over the next year.
“It’s becoming pretty crystal clear that numbers are just massively underestimated, not just this quarter, but I think over the next call it 6 to 8 quarters,” he said.
Nvidia shares have gained about 14% since the company’s last earnings report on Aug. 26 and are up 24.8% year to date. NVDA has outperformed Intel Corp. (INTC) and Advanced Micro Devices (AMD) in the ongoing second half of the year, although the latter two are up 215% and 195% year to date, respectively.
Enterprise AI Adds To The Upside
Ives also pointed to a broadening AI spending cycle beyond the major hyperscalers, arguing that enterprise and physical AI use cases are creating an additional source of demand for Nvidia’s chips.
“Big Tech is ultimately flexing its muscles again,” Ives said. “We’ve seen just a massive acceleration from all these enterprise AI use cases.” Ives noted that chip demand has surged from prior ratios of 10-to-1 and 11-to-1 up to 13-to-1 and 14-to-1 relative to available supply.
BNP Paribas Raises NVDA Price Target
The comments come as Nvidia extends its powerful rally, fueled by expectations for sustained AI infrastructure spending and demand for its latest-generation chips.
BNP Paribas also raised its Nvidia price target to $345 from $285 while maintaining an “Outperform” rating. The fresh target implies a 44% upside from the stock’s closing price on Monday.
The investment bank acknowledged growing competition in AI chips but argued that Nvidia’s full-stack platform remains a key advantage that rivals will struggle to replicate.
Analyst, Retail View On NVDA
Currently, 58 of 61 analysts rate the stock ‘Buy’ or higher, two rate it ‘Hold,’ and one rates it ‘Sell,’ per Koyfin data. The average price target of 328.72 implies a 5% upside. The most bullish price target among Wall Street analysts is $515.
On Stocktwits, retail sentiment for NVDA shifted to ‘bullish’ from ‘neutral’ the previous day.
“$NVDA there’s very little hesitation in this advance,” said a trader, while another wrote that NVDA could climb to $300 if the deadlock between Beijing and Washington over Nvidia chip sale in China eases.
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