UBS analyst Timothy Arcuri has upgraded Nvidia's stock target from $235 to $245, citing strong demand and improved supply chains ahead of the company's fourth-quarter earnings. This upgrade suggests a 28% upside from the current trading level of $190. Arcuri highlighted Nvidia's robust management and the potential to exceed a 75% gross margin as key factors for the positive outlook.
Nvidia is expected to benefit from increased spending by major clients like Microsoft, Google, and Amazon, who plan to invest over $660 billion in data centers this year. Additionally, Nvidia's revenue is projected to reach $65 billion, a 71% year-over-year increase, with earnings per share anticipated to rise to $1.52. Despite technical resistance at $193, the stock's potential for growth remains strong, supported by bullish forecasts from other firms like Wolfe Research and Mizuho.
UBS Analyst Raises Nvidia Stock Target to $245 Pre-Earnings
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