DBS analyst Fang Boon Foo maintained a Buy rating on Nvidia (NVDA – Research Report) today and set a price target of $160.00.
Fang Boon Foo has given his Buy rating due to a combination of factors including Nvidia’s dominant position in the AI-chip market and its continuous innovation in high-powered computing. Nvidia’s GPUs are at the forefront of technology, particularly in supporting artificial intelligence, machine learning, and scientific computing, which are critical for data centers. The company’s commitment to annual upgrades of its AI accelerators, as highlighted by the upcoming Blackwell chips, underscores its growth strategy.
Additionally, Nvidia’s strong financial performance, with management’s guidance indicating robust demand for its products, supports the Buy rating. The company has consistently surpassed revenue expectations, marking its seventh consecutive quarter of significant growth. Furthermore, Nvidia’s ability to maintain high margins and its diverse revenue streams across various segments and markets contribute to its strong fundamentals, making it a favorable investment despite the reduction in the target price to USD 160.