San Jose, California – A Wall Street firm recently raised its price targets on Nvidia and Super Micro Computer ahead of Nvidia’s GTC conference for AI developers scheduled for next week.
Analyst Vivek Arya from BofA Securities expressed optimism about Nvidia’s upcoming GTC show, referring to it as “AI Woodstock” and potentially serving as a catalyst for Nvidia stock. He reaffirmed his buy rating on the graphics-chip maker and increased his price target to 1,100 from 925.
Nvidia’s Chief Executive Jensen Huang is set to kick off the four-day GTC conference and expo with a keynote presentation, with expectations high for the unveiling of the company’s extensive product pipeline in AI accelerators, Ethernet switches, data center hardware, PC gear, software, and services.
Arya also anticipated that Nvidia would emphasize the opportunity to re-architect $1 trillion to $2 trillion of global computing infrastructure with accelerators, potentially creating an annual market opportunity of $250 billion to $500 billion over the next three to five years.
Meanwhile, analyst Ruplu Bhattacharya from the same firm raised his price target on Super Micro Computer, citing the company’s strong position in the growing AI server market. Bhattacharya maintained a buy rating on the data center computer maker and noted Super Micro’s capacity expansion to support increasing demand and revenue growth.
Bhattacharya is optimistic about the potential sales growth of artificial intelligence servers, which he expects to rise from about $39 billion in 2023 to approximately $200 billion in 2027. He highlighted Super Micro’s advantageous relationships with AI chipmakers like Nvidia, AMD, and Intel.
Notably, Nvidia stock features prominently on five IBD stock lists, including IBD 50, Big Cap 20, Sector Leaders, Leaderboard, and Tech Leaders, while Super Micro stock appears on two lists: Big Cap 20 and Tech Leaders.
Investors and industry observers eagerly await the developments at Nvidia’s GTC conference and the potential impacts on the company’s stock and the broader AI market. With key players like Nvidia and Super Micro positioning themselves to capitalize on the growing demand for AI-related technologies, the stakes are high for these companies in the rapidly evolving tech landscape.
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