Buy Nvidia (NVDA) Stock Ahead of Earnings, Says Morgan Stanley

Leading U.S. investment bank Morgan Stanley (MS) is urging investors to buy Nvidia’s (NVDA) stock ahead of its next earnings print on Feb. 26.

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“While sentiment has worsened around potential longer term risks, near term business continues to firm, Blackwell supply visibility continues to build, customer desire to spend is clearly on display,” writes Morgan Stanley in a note to clients.

Joseph Moore, a top five-star rated analyst at Morgan Stanley, maintains a Buy rating on NVDA stock with a price target of $152 on the shares. The target price implies an additional 10% upside from current levels for NVDA stock. The investment bank said that it expects Nvidia’s shares to move to the upside following its upcoming financial results.

Difficult Start to 2025

After enjoying a blistering rally for much of last year, NVDA stock has gotten off to a rocky start in 2025. So far this year, Nvidia’s shares have barely budged (up 0.39%). The stock endured a big selloff following the emergence of Chinese artificial intelligence (AI) app DeepSeek, which raised concerns about future demand for Nvidia’s microchips and processors.

However, NVDA stock has recovered in recent weeks, having gained 6% in the past five trading sessions to get back to breakeven on the year. Morgan Stanley said that it still views Nvidia as a best-in-class stock worth owning. “We believe that NVIDIA should trade at a premium given its higher probability of upward revisions in the near term,” wrote the Wall Street firm in its outlook heading into earnings.

NVDA stock has doubled over the past 12 months.

Is NVDA Stock a Buy?

Nvidia’s stock currently has a consensus Strong Buy rating among 40 Wall Street analysts. That rating is based on 37 Buy and three Hold recommendations assigned in the last three months. The average NVDA price target of $179.03 implies 29.01% upside from current levels.

Read more analyst ratings on NVDA stock