Tesla, Nvidia, Palantir ETFs Dominate As Traders Pile Into High-Risk Bets In June
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jul 03 2025
0mins
Should l Buy NVDA?
Source: Benzinga
ETF Market Recovery: In June, the U.S. ETF market saw a significant rebound with $102.7 billion in net inflows, marking a 17% increase from May and bringing total assets to $11.5 trillion, driven largely by high-beta funds and aggressive investing strategies.
Sector Trends: Investors are shifting their focus back to Technology, Consumer Discretionary, and Communication Services sectors, while experiencing outflows from Financials, Energy, and Health Care, indicating a preference for riskier, high-reward investments amidst a broader market recovery.
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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: 190.050
Low
200.00
Averages
264.97
High
352.00
Current: 190.050
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.
Nvidia's Earnings Outlook Remains Positive as Shares Rise
- Stock Performance: Nvidia shares rose 1.8% in premarket trading on Wednesday, reflecting market optimism ahead of its upcoming earnings report, particularly as UBS analysts noted a “favorable” financial setup.
- Earnings Expectations: UBS analyst Timothy Arcuri reiterated his Buy rating and raised the price target from $235 to $245, anticipating Nvidia's revenue to reach approximately $76 billion, surpassing the market's expectations of $74 billion to $75 billion for the next quarter.
- Gross Margin Outlook: Despite investor skepticism regarding the 75% gross margin guidance, Arcuri stated that there are no near-term factors likely to impact this figure, indicating Nvidia's stability amid competitive threats from Google and Broadcom.
- Market Signals: As the GTC conference approaches, Nvidia's management appears frustrated with prevailing market doubts, yet bullish supply chain signals support the company's prospects for growth and margin sustainability.
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Alphabet and Amazon: Top Stocks to Buy Now
- Google Search Engine Advantage: Alphabet (GOOGL) holds a dominant position as the primary search engine globally, leveraging AI to drive search growth, with its cloud computing revenue surging 48% last quarter, indicating strong market demand and profitability.
- Capital Expenditure Plans: Alphabet plans to invest between $175 billion and $185 billion in capital expenditures in 2023, particularly on its proprietary TPU chips, which provide a cost advantage in the AI sector, thereby enhancing its return on investment.
- Amazon E-commerce Growth: Amazon (AMZN) drives a 24% increase in operating income in its North American e-commerce business, with a 10% rise in sales, showcasing its dominant market position and operational efficiency through a robust logistics network.
- Cloud Computing Market Leadership: Amazon Web Services (AWS) sees a 24% revenue growth last quarter, marking an acceleration in its cloud computing sector, while committing to $200 billion in capital expenditures in 2023 to meet the rising demand for infrastructure and AI services.
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Hyperscalers' AI Spending Surge Raises Market Concerns
- Spending Plans Overview: Alphabet plans to increase its AI spending from $91 billion in 2025 to $180 billion by 2026, while Microsoft reported $37.5 billion in Q2 2023, up from $34.9 billion in Q1, and Amazon aims to raise its spending to $200 billion in 2026, indicating a strong commitment to AI investments.
- TSMC's Market Outlook: Taiwan Semiconductor Manufacturing Company (TSMC) expects its capital expenditures to rise from $41 billion in 2025 to $54 billion, with management highlighting increased capacity to meet demand during the Q4 earnings call, leading to positive market sentiment regarding its potential benefits from the AI spending surge.
- Nvidia's Growth Potential: As a leading GPU provider, Nvidia's cloud products are sold out, and it anticipates AI spending could reach $3 to $4 trillion over the next decade, with management asserting that the company is still in the early stages of AI development and will continue to launch more powerful products to maintain its competitive edge.
- Applied Digital's Successful Pivot: Applied Digital has shifted from crypto-mining to AI infrastructure, securing a $5 billion long-term contract over 15 years, and despite currently being unprofitable, it reported a 250% year-over-year sales increase in Q2 2026, indicating strong market demand and positioning for future growth.
See More
AI Drives Exponential Growth in Capital Expenditure
- Surge in Capital Expenditure: Top hyperscalers are expected to increase capital expenditures by 70% this year, with Amazon, Alphabet, Meta, and Microsoft planning a combined spending of over $600 billion, indicating a strong commitment to AI infrastructure investment.
- Mixed Market Reactions: Despite the significant increase in capital spending, Amazon and Microsoft's shares have dropped 12% and 16% respectively, while Alphabet's stock is down less than 1% and Meta's has risen by 1%, reflecting investor concerns about the timing of returns on these investments.
- Infrastructure Investment Opportunities: With spending accelerating, investors are drawn to
See More
Bullish Outlook for AI Stocks Amid Spending Surge
- Surge in Capital Expenditures: Amazon plans to spend $200 billion in 2026, with Alphabet and Meta at $185 billion and $135 billion respectively, totaling over $500 billion, indicating that AI infrastructure development is accelerating despite market skepticism about AI spending.
- Opportunities for Nvidia and Broadcom: As major computing unit suppliers, Nvidia and Broadcom are expected to benefit from this massive spending, with analysts projecting a 52% revenue growth for both companies this fiscal year, highlighting that the AI boom is far from over.
- Market Reaction Misalignment: Despite the decline in Nvidia and Broadcom's stock prices due to market sentiment, investors should seize the current undervalued buying opportunity, especially as Nvidia's P/E ratio stands at 24 times, significantly lower than Broadcom's 32 times.
- Technological Collaboration Driving Growth: The soaring demand for Broadcom's TPU chips, developed in collaboration with Alphabet, is expected to further boost Broadcom's sales, reflecting the increasing need for custom chips among AI hyperscalers.
See More
Micron Technology Seizes AI Hardware Opportunity
- Market Value Surge: Micron Technology's market capitalization has reached $46.2 billion, with a 317% increase in share price over the past 12 months, indicating strong growth driven by AI demand and suggesting potential for substantial profits in the future.
- Surge in AI Hardware Demand: As major tech companies are projected to spend over $700 billion in 2026, the demand for Micron's high-bandwidth memory chips is skyrocketing, enhancing the company's competitiveness in the AI data center market and potentially narrowing the gap with Nvidia.
- Production Capacity Expansion: Micron plans to invest $200 billion to expand dynamic random access memory (DRAM) capacity to address the memory chip shortage expected to last until 2027, aiming to leverage high short-term demand to increase market share.
- Attractive Valuation: With a forward price-to-earnings (P/E) ratio of 12.5, Micron's shares trade at nearly half of Nvidia's forward P/E of 24, reflecting market uncertainty about memory hardware margins and leaving ample room for continued growth, making the stock a buy opportunity.
See More
Nvidia's Earnings Outlook Remains Positive as Shares Rise
- Stock Performance: Nvidia shares rose 1.8% in premarket trading on Wednesday, reflecting market optimism ahead of its upcoming earnings report, particularly as UBS analysts noted a “favorable” financial setup.
- Earnings Expectations: UBS analyst Timothy Arcuri reiterated his Buy rating and raised the price target from $235 to $245, anticipating Nvidia's revenue to reach approximately $76 billion, surpassing the market's expectations of $74 billion to $75 billion for the next quarter.
- Gross Margin Outlook: Despite investor skepticism regarding the 75% gross margin guidance, Arcuri stated that there are no near-term factors likely to impact this figure, indicating Nvidia's stability amid competitive threats from Google and Broadcom.
- Market Signals: As the GTC conference approaches, Nvidia's management appears frustrated with prevailing market doubts, yet bullish supply chain signals support the company's prospects for growth and margin sustainability.
See More
Alphabet and Amazon: Top Stocks to Buy Now
- Google Search Engine Advantage: Alphabet (GOOGL) holds a dominant position as the primary search engine globally, leveraging AI to drive search growth, with its cloud computing revenue surging 48% last quarter, indicating strong market demand and profitability.
- Capital Expenditure Plans: Alphabet plans to invest between $175 billion and $185 billion in capital expenditures in 2023, particularly on its proprietary TPU chips, which provide a cost advantage in the AI sector, thereby enhancing its return on investment.
- Amazon E-commerce Growth: Amazon (AMZN) drives a 24% increase in operating income in its North American e-commerce business, with a 10% rise in sales, showcasing its dominant market position and operational efficiency through a robust logistics network.
- Cloud Computing Market Leadership: Amazon Web Services (AWS) sees a 24% revenue growth last quarter, marking an acceleration in its cloud computing sector, while committing to $200 billion in capital expenditures in 2023 to meet the rising demand for infrastructure and AI services.
See More
Hyperscalers' AI Spending Surge Raises Market Concerns
- Spending Plans Overview: Alphabet plans to increase its AI spending from $91 billion in 2025 to $180 billion by 2026, while Microsoft reported $37.5 billion in Q2 2023, up from $34.9 billion in Q1, and Amazon aims to raise its spending to $200 billion in 2026, indicating a strong commitment to AI investments.
- TSMC's Market Outlook: Taiwan Semiconductor Manufacturing Company (TSMC) expects its capital expenditures to rise from $41 billion in 2025 to $54 billion, with management highlighting increased capacity to meet demand during the Q4 earnings call, leading to positive market sentiment regarding its potential benefits from the AI spending surge.
- Nvidia's Growth Potential: As a leading GPU provider, Nvidia's cloud products are sold out, and it anticipates AI spending could reach $3 to $4 trillion over the next decade, with management asserting that the company is still in the early stages of AI development and will continue to launch more powerful products to maintain its competitive edge.
- Applied Digital's Successful Pivot: Applied Digital has shifted from crypto-mining to AI infrastructure, securing a $5 billion long-term contract over 15 years, and despite currently being unprofitable, it reported a 250% year-over-year sales increase in Q2 2026, indicating strong market demand and positioning for future growth.
See More
AI Drives Exponential Growth in Capital Expenditure
- Surge in Capital Expenditure: Top hyperscalers are expected to increase capital expenditures by 70% this year, with Amazon, Alphabet, Meta, and Microsoft planning a combined spending of over $600 billion, indicating a strong commitment to AI infrastructure investment.
- Mixed Market Reactions: Despite the significant increase in capital spending, Amazon and Microsoft's shares have dropped 12% and 16% respectively, while Alphabet's stock is down less than 1% and Meta's has risen by 1%, reflecting investor concerns about the timing of returns on these investments.
- Infrastructure Investment Opportunities: With spending accelerating, investors are drawn to
See More
Bullish Outlook for AI Stocks Amid Spending Surge
- Surge in Capital Expenditures: Amazon plans to spend $200 billion in 2026, with Alphabet and Meta at $185 billion and $135 billion respectively, totaling over $500 billion, indicating that AI infrastructure development is accelerating despite market skepticism about AI spending.
- Opportunities for Nvidia and Broadcom: As major computing unit suppliers, Nvidia and Broadcom are expected to benefit from this massive spending, with analysts projecting a 52% revenue growth for both companies this fiscal year, highlighting that the AI boom is far from over.
- Market Reaction Misalignment: Despite the decline in Nvidia and Broadcom's stock prices due to market sentiment, investors should seize the current undervalued buying opportunity, especially as Nvidia's P/E ratio stands at 24 times, significantly lower than Broadcom's 32 times.
- Technological Collaboration Driving Growth: The soaring demand for Broadcom's TPU chips, developed in collaboration with Alphabet, is expected to further boost Broadcom's sales, reflecting the increasing need for custom chips among AI hyperscalers.
See More
Micron Technology Seizes AI Hardware Opportunity
- Market Value Surge: Micron Technology's market capitalization has reached $46.2 billion, with a 317% increase in share price over the past 12 months, indicating strong growth driven by AI demand and suggesting potential for substantial profits in the future.
- Surge in AI Hardware Demand: As major tech companies are projected to spend over $700 billion in 2026, the demand for Micron's high-bandwidth memory chips is skyrocketing, enhancing the company's competitiveness in the AI data center market and potentially narrowing the gap with Nvidia.
- Production Capacity Expansion: Micron plans to invest $200 billion to expand dynamic random access memory (DRAM) capacity to address the memory chip shortage expected to last until 2027, aiming to leverage high short-term demand to increase market share.
- Attractive Valuation: With a forward price-to-earnings (P/E) ratio of 12.5, Micron's shares trade at nearly half of Nvidia's forward P/E of 24, reflecting market uncertainty about memory hardware margins and leaving ample room for continued growth, making the stock a buy opportunity.
See More
