Nvidia Expected to Reach $170 Billion Profit and $6 Trillion Market Cap by 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 6d ago
0mins
Source: Fool
- Profit Growth Expectation: Nvidia is projected to achieve $170 billion in profits by 2026, significantly surpassing Alphabet's expected $146 billion, highlighting its strong growth potential in the AI market.
- Market Share Increase: Nvidia's revenue is expected to grow by 50% in fiscal year 2027, compared to Alphabet's 14%, indicating a substantial increase in market share and solidifying its industry leadership.
- Market Cap Breakthrough: If Nvidia achieves $170 billion in profits, its market cap could reach $6.8 trillion, making it the first company to surpass the $6 trillion mark, further reinforcing its market dominance.
- Investment Appeal: Nvidia's stock is anticipated to rise nearly 50% over the next year, making it an attractive option for investors, especially as global data center expenditures are projected to reach $3 trillion to $4 trillion.
Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for NVDA is 255.63 USD with a low forecast of 185.00 USD and a high forecast of 352.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
40 Analyst Rating
38 Buy
1 Hold
1 Sell
Strong Buy
Current: 187.050
Low
185.00
Averages
255.63
High
352.00
Current: 187.050
Low
185.00
Averages
255.63
High
352.00
About NVDA
NVIDIA Corporation is a full-stack computing infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. The Company’s segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing platforms and artificial intelligence (AI) solutions and software; networking; automotive platforms and autonomous and electric vehicle solutions; Jetson for robotics and other embedded platforms, and DGX Cloud computing services. The Graphics segment includes GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems, and Omniverse Enterprise software for building and operating industrial AI and digital twin applications.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
