Nvidia stock gets target price increase ahead of GTC 2024

A Wall Street firm on Wednesday raised its price targets Nvidia (NVDA) stocks and Super micro computer (SMCI) ahead of the Nvidia GTC AI Developer Conference next week.




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BofA Securities analyst Vivek Arya said news from the Nvidia GTC show, which he called “AI Woodstock,” could be a catalyst for Nvidia stock. He reiterated his buy rating on the graphics chip maker and raised his price target to 1,100 from 925.

In morning trading on the stock market today, Nvidia stock was down more than 2% to 895. However, year-to-date, Nvidia stock is still up 80%.

Nvidia CEO Jensen Huang will kick off the four-day GTC Conference & Expo late Monday with a keynote presentation. The GTC is held in San Jose, California.

In a client note, Arya said he expects Nvidia to showcase its broad product portfolio across AI accelerators, Ethernet switches, data center hardware, computer hardware, software and services.

Nvidia is also likely to tout the opportunity to re-engineer the $1 trillion to $2 trillion global computing infrastructure using accelerators. This could lead to an annual market opportunity of $250 billion to $500 billion over the next three to five years, Arya said.

Super Micro is “well positioned” in AI servers

Elsewhere at BofA Securities, analyst Ruplu Bhattacharya raised his price target on data center computer maker Super Micro Computer to 1,280 from 1,040. He maintained his buy rating on Super Micro shares.

In morning trading, Super Micro shares rose 0.3% to 1,166.66.

Super Micro is “well-positioned to capitalize on the growing AI server market,” Bhattacharya said in a client note. “The company is creating the capacity to support strong demand and revenue growth.”

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AI server industry sales are expected to grow from about $39 billion in 2023 to about $200 billion in 2027.

Nvidia stock is on 5 IBD lists

Super Micro will benefit from its close relationships with AI chip makers including Nvidia, AMD (AMD) And Intel Corporation (you are K), He said.

Nvidia stock is on five IBD stock lists: Bahraini dinar 50, Big hat 20, Sector leadersLeaderboards and technology leaders.

Super Micro stock is on two IBD lists: Big Cap 20 and Tech Leaders.

Follow Patrick Seitz on X, formerly Twitter, at @IBD_PSeitz For more stories on consumer technology, software and semiconductor stocks.

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