Nvidia (NVDA) is growing its presence in the healthcare sector with new partnerships, such as with gene sequencing company Illumina (ILMN), among others. These deals, announced at the J.P. Morgan Healthcare Conference yesterday, are designed to speed up the use of AI in healthcare.
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By combining Illumina’s advanced sequencing software with Nvidia’s AI tools, researchers will be able to analyze large amounts of genomic data more quickly and easily. This will help identify harmful mutations faster, speed up drug development, and create better and more personalized treatments.
Nvidia Bolsters AI in Healthcare
In addition to its partnership with Illumina, Nvidia has teamed up with several other companies to bolster its AI-driven healthcare initiatives. One notable collaboration with Mayo Clinic focuses on developing advanced AI-driven digital pathology models using Nvidia’s DGX Blackwell systems. The goal is to improve the accuracy and efficiency of disease diagnosis.
Moreover, through its partnership with IQVIA (IQV), Nvidia will utilize its AI Foundry service to create AI agents aimed at streamlining clinical research processes. This collaboration seeks to enhance data analysis and accelerate drug discovery.
Also, Nvidia has teamed up with Arc Institute to create open-source biomedical AI models using its BioNeMo platform and DGX Cloud infrastructure. This partnership is set to speed up biomedical research by offering more accessible AI tools.
Nvidia Targets $10 Trillion Healthcare Market
These collaborations highlight Nvidia’s push to extend its AI technology beyond traditional data centers. CEO Jensen Huang views healthcare as a key growth area for NVDA’s AI products.
According to the company, the healthcare industry is currently a $10-trillion-dollar market. By tapping into this sector, Nvidia has the potential to substantially grow its revenue and market share.
Is Nvidia a Good Stock to Buy Now?
Turning to Wall Street, NVDA has a Strong Buy consensus rating based on 36 Buys and three Holds assigned in the last three months. At $177.42, the average Nvidia price target implies an 33.17% upside potential.
