Nvidia Highlights Surge in AI Chip Demand at CES 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 6h ago
0mins
Source: NASDAQ.COM
- Surge in AI Chip Demand: Nvidia CEO Jensen Huang highlighted at CES 2026 that AI development is accelerating, with projected revenue of $213 billion for fiscal 2026, reflecting a 50% increase from last year and showcasing the company's strong growth potential in the AI market.
- Opportunities in Older Chips: As the new Rubin chips are rolled out, Nvidia's older chip prices are expected to decline by a factor of 10 annually, attracting more developers and companies to purchase them, thus creating a secondary market and further expanding Nvidia's market share.
- Strong Data Center Revenue: In Q3 of fiscal 2026, Nvidia's data center revenue reached $51.2 billion, a 66% year-over-year increase, indicating robust demand in cloud computing and AI infrastructure, particularly with strong sales of Blackwell chips.
- AI Workload Share: Meta's open-source AI model Llama accounts for 25% of AI workload volume, driving demand for Nvidia chips and further solidifying its critical position in the AI ecosystem.
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.
