Morgan Stanley: NVDA Could Reach New Heights!
Analysts from $Morgan Stanley(MS)$ are feeling optimistic about $NVIDIA Corp(NVDA)$ 's stock after talks with the company's executives. They believe that as demand for GPU chips continues to rise, NVIDIA's market value is likely to keep climbing.
During a three-day conference in New York, Morgan Stanley's analysts met with CEO Jensen Huang, CFO Colette Kress, and other members of the management team. Post-meeting, they noted a sustained growth in market demand, suggesting that NVIDIA's stock could even surpass its previous all-time high.
Analyst Joseph Moore highlighted that the management’s optimistic outlook indicates we are still in the early stages of an AI investment cycle. He reiterated his "overweight" rating on NVIDIA shares, setting a target price of $150, which suggests an upside potential of 11.2%.
NVIDIA's Unique Position
Moore believes NVIDIA's role in the semiconductor industry is unparalleled. Its innovations in AI offer significant opportunities for gaining market share. While he remains bullish on NVIDIA's long-term prospects, he noted that short-term profit expectations might be adjusted due to the recent stock rebound.
Moore also mentioned the highly anticipated Blackwell series of GPU chips. The production is progressing smoothly, and demand is so strong that future orders may not be fulfilled until late 2025. This situation is expected to boost demand for NVIDIA's existing Hopper architecture products.
Breakthroughs in Inference Computing
Analysts pointed out that the impressive performance and forward-looking capabilities of Blackwell indicate new advancements in inference computing. As this technology starts tackling more complex problems, NVIDIA’s GPU lineup stands to benefit significantly.
Moore elaborated on NVIDIA's long-term vision: enabling every company to employ vast numbers of "digital AI workers" for challenging tasks. This task-oriented inference computing could lead to exponential growth in complexity, unlocking new growth opportunities for NVIDIA and potentially solidifying its industry leadership.
CEO Jensen Huang shared with Morgan Stanley that significant growth is expected by 2025, with momentum likely continuing into 2026, though specific figures are not yet disclosed.
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