Nvidia Projects Significant Growth Ahead
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 6 days ago
0mins
Should l Buy NVDA?
Source: NASDAQ.COM
- Sales Projection Surge: Nvidia anticipates lifetime sales of its current-generation Blackwell chips and next-generation Vera Rubin chips to reach $1 trillion by the end of 2027, a significant increase from last year's $500 billion forecast, reflecting strong confidence in future market demand.
- Revenue Growth Expectations: Analysts project Nvidia's revenue for FY 2027 to hit $369 billion, a 71% year-over-year increase, with FY 2028 sales expected to reach $480 billion, indicating the company's sustained growth potential in the AI sector.
- Market Reaction Lagging: Despite Nvidia's stock trading at a 35 times earnings ratio, the market has not fully accounted for its long-term growth prospects, revealing investor caution regarding future AI spending and data center construction.
- Investment Opportunity Emerges: With the acceleration of AI data center construction, significant chip purchases from Nvidia are expected in 2027 or 2028, suggesting that investors should seize the current low stock price to potentially reap substantial returns in the future.
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Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 178.100
Low
200.00
Averages
264.97
High
352.00
Current: 178.100
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is an artificial intelligence (AI) infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. Its segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing and networking platforms and AI solutions and software, and automotive platforms and autonomous and electric vehicle solutions, including software. The Graphics segment includes GeForce GPUs for gaming and personal computers (PCs), and Quadro/NVIDIA RTX GPUs for enterprise workstation graphics. Its technology stack includes the foundational NVIDIA CUDA development platform that runs on all NVIDIA GPUs, as well as hundreds of domain-specific software libraries, frameworks, algorithms, software development kits (SDKs), and application programming interfaces (APIs). Its platforms address four markets, which include Data Center, Gaming, Professional Visualization, and Automotive.
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.
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