Nvidia price target raised to $160 from $145 at Needham

Needham raised the firm’s price target on Nvidia (NVDA) to $160 from $145 and keeps a Buy rating on the shares. The company delivered another strong beat and raise quarter, with results well above the firm’s estimates but guidance was below the more bullish buy-side expectations, the analyst tells investors in a research note. Needham adds however that Nvidia management not only silenced the Blackwell overheating rumors, it raised its Q4 Blackwell revenue guide. The firm also notes that it assumes the company’s gross margins will trough in Q1 and return to 75% by FY26, though it is reducing its FY26 gross margin assumptions by 30bps on near-term complexities of the Blackwell ramp.