TD Cowen Analyst Highlights NVIDIA's Broader Technology Application and Investment Merit

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TD Cowen has indicated that the practical application scope of NVIDIA's technology ecosystem is far more extensive than the current market perception, representing high allocation value and deserving inclusion in investor portfolios.

The firm has assigned a Buy rating to this computing powerhouse, listing it as a top pick with a price target of $275, implying a 35% upside from Wednesday's closing price.

Analyst Joshua Buchalter pointed out to clients in a Wednesday report, "NVIDIA is sending a clear signal to the market — computing power supply remains tight; the market's interpretation of its full technology stack and potential commercial opportunities is too narrow."

The analyst noted that current AI applications are evolving from general-purpose large language models towards specialized models for vertical industries and domain-specific intelligent solutions, and NVIDIA is well-positioned to adapt to this trend.

He added that approximately 20% of NVIDIA's business revenue comes from providing computing power to cutting-edge large model companies like OpenAI and Anthropic; TD Cowen estimates that revenue from enterprise AI applications across various industries currently accounts for 10%–15% of NVIDIA's total revenue.

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