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Analysts expect solid earnings and guidance from NVIDIA

Published 19/05/2023, 01:26 am
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NVDA
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NVIDIA's (NASDAQ:NVDA) price target was raised at Oppenheimer and Susquehanna ahead of its earnings release after the close on Wednesday, May 24.

Oppenheimer analysts raised the firm's price target on the stock to $350 from $300, maintaining an Outperform rating. They told investors they see upside to the company's print and outlook.

"DC expected up through the year as cloud vendors scale-out AI infrastructure. ChatGPT has sparked a sense of urgency some are calling "AI's iPhone moment". AI models continue to grow and proliferate. NVDA's full stack hardware/software platform remains the cornerstone to an expanding AI ecosystem," they wrote. "DC, high-performance gaming, and auto are a triple play for sustained growth."

Susquehanna analysts raised the price target on Positive-rated NVDA to $350 from $310 per share. The analysts said the AI arms race should drive a constructive DC outlook.

"Overall, we expect better results/guidance, driven largely by the ongoing AI gold rush and subsequent DC GPU demand," they said. "We are expecting great things from DC, with Gaming continuing its recovery."

Elsewhere, Deutsche Bank analysts, who have a Hold rating and $220 price target on NVDA, said they expect a solid report and guidance.

There is "room for upside vs. the Street in both as the ever-growing list of potential applications for AI has driven strong demand for NVDA's leading AI compute processors," they added.

"We expect the AI-enthusiasm to carry the day and likely continue to provide a strong safety net for the share price despite its somewhat amazing +107% appreciation YTD."

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