AI Companies' Investment Outlook Remains Positive
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Should l Buy NVDA?
Source: stocktwits
- Market Opportunity Outlook: Despite a 'brutal' week, Ives from Wedbush believes that as long as AI companies continue their capital expenditures, this period will be seen as an opportunity for the future, predicting that enterprise and AI spending will dictate stock movements over the next 12-24 months.
- Microsoft Revenue Forecast: Ives highlighted that 10% of Azure customers have embarked on the AI path, which he predicts will generate an incremental revenue of $35 billion to $40 billion for Microsoft, showcasing the company's potential and market demand in the AI sector.
- Nvidia Stock Analysis: Ives referred to Nvidia as a 'stunner,' noting that despite a 9% drop since its earnings report, he expects the stock to be valued between $210 and $215, reflecting a bullish outlook on its future performance.
- Amazon's Increased Attractiveness: Ives stated that Amazon has become 'most attractive' in the past four to five years, emphasizing CEO Andy Jassy's contributions, indicating that the company is enhancing its competitiveness and appeal in the market.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy NVDA?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 184.890
Low
200.00
Averages
264.97
High
352.00
Current: 184.890
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is a full-stack computing infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. The Company’s segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing platforms and artificial intelligence (AI) solutions and software; networking; automotive platforms and autonomous and electric vehicle solutions; Jetson for robotics and other embedded platforms, and DGX Cloud computing services. The Graphics segment includes GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems, and Omniverse Enterprise software for building and operating industrial AI and digital twin applications.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
NVIDIA's AI Growth Continues to Surge Following Impressive Q4 Results
NVIDIA's Q4 Earnings Performance: NVIDIA's Q4 earnings report for fiscal 2026 shows strong revenue growth driven by AI, with a revenue of $68.3 billion, surpassing market expectations and indicating robust cash flow and investment potential.
Market Segments Growth: The company experienced significant growth across critical markets, particularly in data centers, automotive, and gaming, with data center revenue accounting for over 90% of total revenue and growing by 75% year-over-year.
Future Projections: Analysts project continued strong performance for NVIDIA, forecasting $78 billion in revenue for Q1 FY 2027, reflecting a 14.7% sequential increase and a 77% year-over-year growth, excluding China.
Investor Sentiment and Stock Outlook: Analysts maintain a bullish outlook on NVIDIA's stock, with a consensus target price suggesting significant upside potential, supported by strong cash flow and a healthy balance sheet, positioning the company well for future growth.
See More
Nvidia's Q4 Results Exceed Expectations Significantly
- Strong Performance: Nvidia reported an adjusted earnings per share of $1.62 for the quarter ending January 25, with revenue soaring 73% year-over-year to $68.13 billion, significantly exceeding Wall Street's forecast of $65.91 billion, indicating robust market demand and execution.
- Data Center Revenue Surge: Data center revenue reached $62.13 billion, surpassing expectations of $60.36 billion, reflecting a surge in enterprise demand for AI computing, further solidifying Nvidia's leadership in the AI sector.
- Optimistic Outlook: The company anticipates revenue of $78 billion for the upcoming fiscal first quarter, excluding any revenue from China, showcasing confidence in global markets while also indicating a cautious stance towards the Chinese market.
- Dividend Announcement: Nvidia declared a quarterly dividend of $0.01 per share to be paid on April 1, enhancing investor confidence and demonstrating the company's ability to return value to shareholders supported by strong cash flow.
See More
Analysts Claim Nvidia is Massively Undervalued
- Market Underestimation: Dan Ives from Wedbush Securities pointed out that Wall Street analysts have severely underestimated Nvidia's valuation, particularly ahead of the upcoming fourth-quarter earnings report, indicating a neglect of the company's potential.
- Surge in AI Demand: Ives emphasized that with the skyrocketing demand for artificial intelligence, Nvidia's chips play a crucial role in driving the AI revolution, making its future earnings pivotal.
- Performance Expectations: Ives anticipates a 'gold medal performance' from Nvidia, reflecting not only his confidence in the company's strong earnings but also potentially influencing investor perceptions of its stock.
- Stock Price Reaction: At the time of writing, Nvidia's shares were trading 2% higher, indicating a positive market response to the optimistic expectations surrounding the upcoming earnings report and analyst sentiments.
See More
Investment Strategy Analysis for the Crypto Market
- Bitcoin Investment Opportunity: Currently priced at $67,000, Bitcoin has dropped 47% from its all-time high, yet it constitutes 60% of the total crypto market cap, with analysts predicting it could reach $1 million by 2030, indicating significant long-term investment potential.
- Ethereum Value Recovery: Ethereum is trading at $2,000, down 60% from $5,000 in August, yet it maintains a 56% market share in the decentralized finance sector, underscoring its importance in the future integration of traditional and blockchain finance.
- Rise of Gold Stablecoins: PAX Gold, a gold-backed stablecoin, has surged 16% this year, showcasing strength in the current crypto market and reflecting investor demand for gold as a safe haven, providing additional downside protection.
- ETF Portfolio Construction: With the introduction of spot crypto ETFs, constructing a 70/20/10 portfolio is straightforward, allowing for $700 in Bitcoin ETF, $200 in Ethereum ETF, and $100 in Gold ETF, aimed at diversifying risk while capturing potential market recovery.
See More
February Market Review and Outlook
- Nvidia Stock Decline: Despite Nvidia reporting a strong quarter and even stronger forward guidance, its shares fell 7.3% in February, primarily due to concerns about whether its major clients can sustain their capital expenditure plans, which negatively impacted investor confidence.
- Tech Sector Downturn: The S&P 500 and Nasdaq dropped 0.4% and nearly 1% respectively, with monthly declines of nearly 1% for the S&P 500 and 3.4% for the Nasdaq marking the worst performance since March 2025, highlighting the disruptive impact of AI on the market.
- Geopolitical Market Influence: The future direction of the markets may hinge on geopolitical developments, particularly regarding Iran, as President Trump expressed dissatisfaction with the nuclear deal negotiations, potentially increasing market uncertainty, even as oil prices have risen about 17% year to date.
- Upcoming Earnings Reports: Next week will see Berkshire Hathaway's first earnings report under new CEO Greg Abel, alongside earnings from Norwegian Cruise Line and Target, with market expectations high for these companies' performances in a competitive retail landscape.
See More
Slop Bowls Are a Thing of the Past. We Explore the Future of Lunch: The Wrap
- New Menu Item: Sweetgreen is introducing wraps at select locations, expanding its menu beyond salads.
- Brand Identity: The fast-casual chain is known for its high-quality greens and aims to innovate its offerings while maintaining its brand identity.
See More
NVIDIA's AI Growth Continues to Surge Following Impressive Q4 Results
NVIDIA's Q4 Earnings Performance: NVIDIA's Q4 earnings report for fiscal 2026 shows strong revenue growth driven by AI, with a revenue of $68.3 billion, surpassing market expectations and indicating robust cash flow and investment potential.
Market Segments Growth: The company experienced significant growth across critical markets, particularly in data centers, automotive, and gaming, with data center revenue accounting for over 90% of total revenue and growing by 75% year-over-year.
Future Projections: Analysts project continued strong performance for NVIDIA, forecasting $78 billion in revenue for Q1 FY 2027, reflecting a 14.7% sequential increase and a 77% year-over-year growth, excluding China.
Investor Sentiment and Stock Outlook: Analysts maintain a bullish outlook on NVIDIA's stock, with a consensus target price suggesting significant upside potential, supported by strong cash flow and a healthy balance sheet, positioning the company well for future growth.
See More
Nvidia's Q4 Results Exceed Expectations Significantly
- Strong Performance: Nvidia reported an adjusted earnings per share of $1.62 for the quarter ending January 25, with revenue soaring 73% year-over-year to $68.13 billion, significantly exceeding Wall Street's forecast of $65.91 billion, indicating robust market demand and execution.
- Data Center Revenue Surge: Data center revenue reached $62.13 billion, surpassing expectations of $60.36 billion, reflecting a surge in enterprise demand for AI computing, further solidifying Nvidia's leadership in the AI sector.
- Optimistic Outlook: The company anticipates revenue of $78 billion for the upcoming fiscal first quarter, excluding any revenue from China, showcasing confidence in global markets while also indicating a cautious stance towards the Chinese market.
- Dividend Announcement: Nvidia declared a quarterly dividend of $0.01 per share to be paid on April 1, enhancing investor confidence and demonstrating the company's ability to return value to shareholders supported by strong cash flow.
See More
Analysts Claim Nvidia is Massively Undervalued
- Market Underestimation: Dan Ives from Wedbush Securities pointed out that Wall Street analysts have severely underestimated Nvidia's valuation, particularly ahead of the upcoming fourth-quarter earnings report, indicating a neglect of the company's potential.
- Surge in AI Demand: Ives emphasized that with the skyrocketing demand for artificial intelligence, Nvidia's chips play a crucial role in driving the AI revolution, making its future earnings pivotal.
- Performance Expectations: Ives anticipates a 'gold medal performance' from Nvidia, reflecting not only his confidence in the company's strong earnings but also potentially influencing investor perceptions of its stock.
- Stock Price Reaction: At the time of writing, Nvidia's shares were trading 2% higher, indicating a positive market response to the optimistic expectations surrounding the upcoming earnings report and analyst sentiments.
See More
Investment Strategy Analysis for the Crypto Market
- Bitcoin Investment Opportunity: Currently priced at $67,000, Bitcoin has dropped 47% from its all-time high, yet it constitutes 60% of the total crypto market cap, with analysts predicting it could reach $1 million by 2030, indicating significant long-term investment potential.
- Ethereum Value Recovery: Ethereum is trading at $2,000, down 60% from $5,000 in August, yet it maintains a 56% market share in the decentralized finance sector, underscoring its importance in the future integration of traditional and blockchain finance.
- Rise of Gold Stablecoins: PAX Gold, a gold-backed stablecoin, has surged 16% this year, showcasing strength in the current crypto market and reflecting investor demand for gold as a safe haven, providing additional downside protection.
- ETF Portfolio Construction: With the introduction of spot crypto ETFs, constructing a 70/20/10 portfolio is straightforward, allowing for $700 in Bitcoin ETF, $200 in Ethereum ETF, and $100 in Gold ETF, aimed at diversifying risk while capturing potential market recovery.
See More
February Market Review and Outlook
- Nvidia Stock Decline: Despite Nvidia reporting a strong quarter and even stronger forward guidance, its shares fell 7.3% in February, primarily due to concerns about whether its major clients can sustain their capital expenditure plans, which negatively impacted investor confidence.
- Tech Sector Downturn: The S&P 500 and Nasdaq dropped 0.4% and nearly 1% respectively, with monthly declines of nearly 1% for the S&P 500 and 3.4% for the Nasdaq marking the worst performance since March 2025, highlighting the disruptive impact of AI on the market.
- Geopolitical Market Influence: The future direction of the markets may hinge on geopolitical developments, particularly regarding Iran, as President Trump expressed dissatisfaction with the nuclear deal negotiations, potentially increasing market uncertainty, even as oil prices have risen about 17% year to date.
- Upcoming Earnings Reports: Next week will see Berkshire Hathaway's first earnings report under new CEO Greg Abel, alongside earnings from Norwegian Cruise Line and Target, with market expectations high for these companies' performances in a competitive retail landscape.
See More
Slop Bowls Are a Thing of the Past. We Explore the Future of Lunch: The Wrap
- New Menu Item: Sweetgreen is introducing wraps at select locations, expanding its menu beyond salads.
- Brand Identity: The fast-casual chain is known for its high-quality greens and aims to innovate its offerings while maintaining its brand identity.
See More
