Nvidia (NVDA) Stock: Analysts Lift Targets as Chip Orders Surge Past $500 Billion
TLDR
- Jefferies increased Nvidia price target to $240 based on $500 billion in orders for Blackwell and Rubin chips
- Loop Capital set Wall Street’s highest target at $350, suggesting 69% potential gains
- Revenue forecasts raised to $293 billion for 2026 and $384 billion for 2027
- OpenAI gets hundreds of thousands of Nvidia GPUs through $38 billion Amazon cloud deal
- U.S. approved Microsoft export of 60,400 Nvidia chips to United Arab Emirates
Nvidia shares jumped 2.17% to $206.88 on Monday following multiple analyst upgrades and fresh AI partnership announcements. The rally reflects growing confidence in the chipmaker’s order pipeline.
Jefferies raised its Nvidia price target to $240 from $220 while maintaining a Buy rating. The upgrade stems from company guidance showing $500 billion in order visibility through 2026.
These orders cover Nvidia’s Blackwell and Rubin chip families. Jefferies calculated potential revenue of $464 billion for 2025 and 2026 from these product lines alone.
The firm updated its full revenue projections to $293 billion for 2026 and $384 billion for 2027. Previous estimates stood at $283 billion and $334 billion respectively.
Jefferies also boosted its 2027 earnings per share forecast to $9.00. Internal analysis suggests EPS could exceed $10 that year.
Wall Street’s Most Bullish Call
Loop Capital analyst Ananda Baruah set a new Street high price target of $350. That’s up from his previous $250 target.
The $350 target represents 69% upside from current levels. Baruah cited accelerating generative AI adoption as the catalyst for his outlook.
The stock trades at a P/E ratio of 59.19 and sits 0.97% below its 52-week high of $212.19. Year-to-date gains total nearly 54%.
Major Cloud Deals Fuel Demand
Amazon Web Services announced a $38 billion cloud agreement with OpenAI on Monday. The deal provides OpenAI with hundreds of thousands of Nvidia GPUs.
Full deployment is scheduled for completion by 2026. The agreement underscores massive cloud provider investment in AI infrastructure.
IREN also revealed plans to deploy Nvidia GPUs at a Texas facility. Dell will supply the hardware while Microsoft operates the site for AI workloads.
UAE Export License Secured
Microsoft confirmed U.S. approval to export Nvidia chips to the United Arab Emirates. The license covers 60,400 A100 processors and newer GB300 GPUs.
These chips will power AI systems from OpenAI, Anthropic and other providers. Microsoft’s UAE investment plan totals $15.2 billion through 2030.
That includes a $1.5 billion stake in local AI firm G42 plus over $5.5 billion in infrastructure spending. The export approval opens Middle East market access for Nvidia.
Nvidia currently holds a Strong Buy consensus rating based on 37 Buy ratings, one Hold and one Sell. The average analyst price target of $237.86 implies 15% upside potential.
Revenue growth reached 71.55% over the past twelve months. The company reports quarterly earnings in 15 days.