Nvidia Corps NVDA Investor Day announcement launched the new gaming lineup, the RTX 40 series, based on the new Ada Lovelace architecture. It also focused on offerings demonstrating Nvidia’s expansion beyond the data center, including the growing adoption of its Omniverse software platform.
MET Capital analyst Ambrish Srivastava lowered Nvidia’s price target to $210 from $230, but kept an Outperform. On a high note, Srivastava thought Nvidia’s fall event was much busier than expected.
He lowered estimates to reflect China’s missed opportunity, assuming the Commerce Ministry’s recent ban on the sale of certain products to China is “irreversible.”
Morgan Stanley analyst Joseph Moore maintained an Equal-Weight rating and a price target of $182 on Nvidia. Moore said his “biggest advantage” has been higher gaming GPU prices, boosting his belief about the pace of gaming revenue recovery next year.
Prices that are 28% higher than the base price two years ago for the higher volume 4080 should drive material revenue growth, said Moore, who sees revenue in the gaming segment recover from its current quarterly return of $5.5 billion to $9.5 billion next year.
Barclays Analyst Blayne Curtis had an Overweight and a price target of $190. GTC always tells a strong AI story, but there was little news in the announcements as the Ada Lovelace GPUs were well anticipated.
The main problem with inventory remains GPU inventory clearance and overall data center demand, he added.
KeyBanking analyst Joh Vinh reiterated Considered and advised investors to own NVDA. Vinh’s main focuses of the event include next-generation RTX 40 gaming GPUs, Omniverse and progress in growing recurring revenues, Hopper H100 in total production and ramping up in the coming quarters, redesigning its next-generation automotive platform Atlan, and Orin’s car design victories.
city analyst Atif Malik found the lack of Chinese restrictions on new game products a relief.
Price promotion: NVDA shares traded 2.08% higher at $134.50 on the latest check Wednesday.
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