Nvidia Set to Generate $40 Billion Revenue from China in 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 07 2026
0mins
Should l Buy NVDA?
Source: Fool
- Surging Market Demand: Nvidia has received orders for over 2 million H200 processors in China, which could lead to $40 billion in revenue in 2026, indicating robust market demand and growth potential.
- Production Capacity Boost: To meet the demand from Chinese customers, Nvidia has requested TSMC to ramp up H200 chip production in Q2, ensuring timely deliveries and further solidifying its market position.
- Favorable Policy Changes: Trump's decision to allow Nvidia to sell advanced chips to 'approved customers' in China, despite a 25% revenue fee to the U.S. government, opens up significant market opportunities for the company.
- Optimistic Financial Outlook: If Nvidia achieves $360 billion in revenue for fiscal 2027, a 69% increase from the current fiscal year, it could drive its market cap to $7.5 trillion in the next year, showcasing strong investment appeal.
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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 264.97 USD with a low forecast of 200.00 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.
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 171.880
Low
200.00
Averages
264.97
High
352.00
Current: 171.880
Low
200.00
Averages
264.97
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.
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