Trump and Xi Reach Trade Agreement, Yet Wall Street Seeks Additional Gains
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 30 2025
0mins
Should l Buy NVDA?
Source: Benzinga
Market Reaction to Trump-Xi Meeting: Investors showed little enthusiasm following President Trump's meeting with Chinese leader Xi Jinping, as the anticipated U.S.-China trade truce lacked substantive details, leading to declines in tech and global markets.
Symbolic Trade Agreement: The trade deal included mutual tariff reductions and a pause on rare earth export controls, but analysts viewed it as a symbolic gesture rather than a strategic resolution, with unresolved issues like semiconductors and Taiwan remaining contentious.
Concerns Over Long-Term Stability: Despite a temporary easing of tensions, experts warn that structural issues persist, and the relationship between the U.S. and China requires careful management to avoid future flare-ups.
Investor Sentiment: The market's cautious response indicates that while the immediate threat of a trade war may have diminished, investors remain skeptical about the durability of the peace, with many refraining from fully pricing in a stable relationship.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy NVDA?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
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.
See More
Cisco Shares Plunge 12% Amid Margin Pressure from Rising Memory Prices
- Stock Plunge: Cisco shares fell 12% on Thursday, marking the largest single-day drop in four years, primarily due to rising memory prices exerting pressure on the company's margins, reflecting market concerns about its future profitability.
- Memory Shortage Impact: The global shortage of memory, driven by strong demand for AI chips, has skyrocketed component costs, affecting Cisco and other tech companies, including Apple and Dell, which are also feeling the pinch from increased expenses.
- Financial Response: CEO Chuck Robbins stated during the earnings call that Cisco will raise prices, revise contracts, and negotiate terms to adapt to evolving component prices, aiming to control what can be managed amid rising costs.
- Declining Gross Margin: Although Cisco reported better-than-expected quarterly results, its product gross margin fell to 66.4%, down 130 basis points from the previous year, highlighting the challenges the company faces in managing rising costs.
See More
AI Investment Sparks Market Turbulence
- Market Concerns Intensify: Amazon's announcement of a $200 billion investment in AI-related capital expenditures by 2026 has led to a 9% decline in its stock year-to-date, reflecting investor worries about excessive AI spending potentially impacting future profitability.
- Microsoft's Earnings Reaction: Despite reporting a 17% year-over-year revenue increase and a 21% rise in operating income, Microsoft's stock fell 17% due to concerns over its plan to spend over $100 billion on capex this year, indicating market skepticism about its AI investments.
- SaaS Sector Struggles: Software companies like Salesforce and Adobe have seen significant stock price declines as investors fear that advancements in AI will severely disrupt the enterprise software industry, leading to a phenomenon dubbed the
See More
AI Stocks Decline Amid Spending Concerns
- Investor Concerns: Major AI and software stocks have declined year-to-date due to worries about AI spending and industry disruption, with Amazon and Microsoft seeing stock drops of approximately 9% and 17%, respectively, reflecting market skepticism about their planned capital expenditures of $200 billion and $100 billion.
- SaaS Industry Crisis: As AI technology advances, investors are increasingly anxious about the future of software-as-a-service (SaaS) companies, with some labeling the situation as the 'SaaSpocalypse,' leading to significant declines in stocks like Salesforce and Adobe, indicating concerns over traditional software profitability.
- ETF Investment Opportunity: Investors can consider buying the iShares Expanded Tech-Software ETF to capitalize on a potential rebound in software company share prices, which includes 114 North American software firms and has delivered an average annual return of 10.4%, despite a P/E ratio of 35.2, slightly above the Nasdaq-100's 32.4.
- Uncertain Industry Outlook: Despite industry insiders like Nvidia CEO Jensen Huang opposing the 'SaaSpocalypse' narrative, asserting that AI will not fully replace software, the ongoing sell-off in software stocks continues, prompting investors to carefully evaluate future investment opportunities.
See More
Anthropic Closes $30 Billion Funding Round, Valuation Reaches $380 Billion
- Record Funding Round: Anthropic announced the closure of a $30 billion funding round, achieving a post-money valuation of $380 billion, more than doubling its worth since September, indicating robust growth potential in the AI sector.
- Surging Enterprise Demand: The company's annualized revenue has climbed to $14 billion, primarily driven by strong demand from enterprise clients for the Claude AI tool, reflecting an increasing reliance on AI for software development and productivity enhancement.
- Intensifying Market Competition: The funding round was led by Coatue and Singapore's sovereign wealth fund GIC, highlighting the critical importance of financial backing for technology development and market expansion amid fierce competition with rivals like OpenAI and Google.
- Product Innovation Driving Success: Claude Code's annualized revenue has reached $2.5 billion, with enterprise users accounting for over half of its revenue, demonstrating the company's success in the AI coding tool space and further solidifying its market position.
See More
Fundstrat Launches GRNY ETF Amid Weak Performance
- Diverse ETF Themes: Fundstrat's GRNY ETF launched in November 2024, encompasses various investment themes including value investing, despite a year-to-date decline of 0.32%, it has risen 18.31% over the past 52 weeks, indicating some market appeal.
- Overlap with Dow Jones: The GRNY ETF shares eight stocks with the Dow Jones Industrial Average, including well-known tech stocks like Apple, Amazon, Microsoft, and Nvidia, with respective weights of 2.55%, 2.16%, 2.11%, and 2.51% in GRNY, reflecting a similarity in investment strategies.
- Differing Investment Styles: The GRNY ETF employs a rules-based stock selection process focusing on stocks that meet two or more key themes, with current themes including PMI recovery, energy stocks, and cybersecurity, aimed at attracting millennial investors.
- Market Performance Comparison: In contrast to the GRNY ETF, the SPDR Dow Jones Industrial Average ETF has increased by 3.46% year-to-date and 12.08% over the past 52 weeks, showcasing the relative strength of Dow components, which may impact investor confidence in GRNY.
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
Cisco Shares Plunge 12% Amid Margin Pressure from Rising Memory Prices
- Stock Plunge: Cisco shares fell 12% on Thursday, marking the largest single-day drop in four years, primarily due to rising memory prices exerting pressure on the company's margins, reflecting market concerns about its future profitability.
- Memory Shortage Impact: The global shortage of memory, driven by strong demand for AI chips, has skyrocketed component costs, affecting Cisco and other tech companies, including Apple and Dell, which are also feeling the pinch from increased expenses.
- Financial Response: CEO Chuck Robbins stated during the earnings call that Cisco will raise prices, revise contracts, and negotiate terms to adapt to evolving component prices, aiming to control what can be managed amid rising costs.
- Declining Gross Margin: Although Cisco reported better-than-expected quarterly results, its product gross margin fell to 66.4%, down 130 basis points from the previous year, highlighting the challenges the company faces in managing rising costs.
See More
AI Investment Sparks Market Turbulence
- Market Concerns Intensify: Amazon's announcement of a $200 billion investment in AI-related capital expenditures by 2026 has led to a 9% decline in its stock year-to-date, reflecting investor worries about excessive AI spending potentially impacting future profitability.
- Microsoft's Earnings Reaction: Despite reporting a 17% year-over-year revenue increase and a 21% rise in operating income, Microsoft's stock fell 17% due to concerns over its plan to spend over $100 billion on capex this year, indicating market skepticism about its AI investments.
- SaaS Sector Struggles: Software companies like Salesforce and Adobe have seen significant stock price declines as investors fear that advancements in AI will severely disrupt the enterprise software industry, leading to a phenomenon dubbed the
See More
AI Stocks Decline Amid Spending Concerns
- Investor Concerns: Major AI and software stocks have declined year-to-date due to worries about AI spending and industry disruption, with Amazon and Microsoft seeing stock drops of approximately 9% and 17%, respectively, reflecting market skepticism about their planned capital expenditures of $200 billion and $100 billion.
- SaaS Industry Crisis: As AI technology advances, investors are increasingly anxious about the future of software-as-a-service (SaaS) companies, with some labeling the situation as the 'SaaSpocalypse,' leading to significant declines in stocks like Salesforce and Adobe, indicating concerns over traditional software profitability.
- ETF Investment Opportunity: Investors can consider buying the iShares Expanded Tech-Software ETF to capitalize on a potential rebound in software company share prices, which includes 114 North American software firms and has delivered an average annual return of 10.4%, despite a P/E ratio of 35.2, slightly above the Nasdaq-100's 32.4.
- Uncertain Industry Outlook: Despite industry insiders like Nvidia CEO Jensen Huang opposing the 'SaaSpocalypse' narrative, asserting that AI will not fully replace software, the ongoing sell-off in software stocks continues, prompting investors to carefully evaluate future investment opportunities.
See More
Anthropic Closes $30 Billion Funding Round, Valuation Reaches $380 Billion
- Record Funding Round: Anthropic announced the closure of a $30 billion funding round, achieving a post-money valuation of $380 billion, more than doubling its worth since September, indicating robust growth potential in the AI sector.
- Surging Enterprise Demand: The company's annualized revenue has climbed to $14 billion, primarily driven by strong demand from enterprise clients for the Claude AI tool, reflecting an increasing reliance on AI for software development and productivity enhancement.
- Intensifying Market Competition: The funding round was led by Coatue and Singapore's sovereign wealth fund GIC, highlighting the critical importance of financial backing for technology development and market expansion amid fierce competition with rivals like OpenAI and Google.
- Product Innovation Driving Success: Claude Code's annualized revenue has reached $2.5 billion, with enterprise users accounting for over half of its revenue, demonstrating the company's success in the AI coding tool space and further solidifying its market position.
See More
Fundstrat Launches GRNY ETF Amid Weak Performance
- Diverse ETF Themes: Fundstrat's GRNY ETF launched in November 2024, encompasses various investment themes including value investing, despite a year-to-date decline of 0.32%, it has risen 18.31% over the past 52 weeks, indicating some market appeal.
- Overlap with Dow Jones: The GRNY ETF shares eight stocks with the Dow Jones Industrial Average, including well-known tech stocks like Apple, Amazon, Microsoft, and Nvidia, with respective weights of 2.55%, 2.16%, 2.11%, and 2.51% in GRNY, reflecting a similarity in investment strategies.
- Differing Investment Styles: The GRNY ETF employs a rules-based stock selection process focusing on stocks that meet two or more key themes, with current themes including PMI recovery, energy stocks, and cybersecurity, aimed at attracting millennial investors.
- Market Performance Comparison: In contrast to the GRNY ETF, the SPDR Dow Jones Industrial Average ETF has increased by 3.46% year-to-date and 12.08% over the past 52 weeks, showcasing the relative strength of Dow components, which may impact investor confidence in GRNY.
See More
