Latest news with #ThomasO'Malley
Business Insider
25-06-2025
- Business
- Business Insider
Nvidia Stock Nears Peak Again After 50% Rally — Will It Keep Rising?
Nvidia (NVDA) stock is back in the spotlight. The stock surged 2.6% on Tuesday to close at $147.90, its highest level since January, and is now less than 1% below their all-time high of $149.43. After a 50% rally from its April low of just over $96, and with strong demand trends in AI and new analyst upgrades, many believe NVDA could break out to new highs in the days ahead. Confident Investing Starts Here: The sharp rebound follows a rough start to the year, when Nvidia shares tumbled over 35% amid U.S.-China tensions, chip export bans, and rising Chinese competition. But with momentum back and confidence returning, Nvidia's sharp turnaround is grabbing Wall Street's attention once again. What's Driving the Comeback? A major turning point came with Nvidia's first-quarter results on May 28. Despite losing billions in revenue from a U.S. export ban on its advanced chips to China, Nvidia still beat analyst estimates. Revenue remained strong, helped by demand from other regions and robust orders for AI infrastructure. At the same time, Nvidia signed major supply deals with Saudi Arabia and the UAE, part of a growing trend of 'sovereign AI' as countries invest in their own data centers and computing stacks. These wins helped restore confidence in the company's long-term growth story. Since the earnings report, Nvidia stock has jumped more than 9%, well ahead of the S&P 500's (SPX) 3.5% gain over the same period. Wall Street Analysts See More Upside Ahead Wall Street analysts remain bullish about Nvidia's growth prospects. They believe that Nvidia's strength across the board, from its H100 and new Blackwell chips to its CUDA software, gives it a big lead in the AI market. Recently, Barclays' five-star-rated analyst Thomas O'Malley reiterated his Buy rating on NVDA stock and increased his price target from $170 to $200 per share. The new target price signals an impressive 35% upside from the current levels. O'Malley believes Nvidia will beat expectations in the second half of the year, thanks to stronger sales from its Compute division. He sees $2 billion more in revenue than expected for the July quarter alone. He forecasts $42 billion in Compute revenue for Q3 and $48 billion for Q4, both higher than Wall Street's estimates. Overall, the analyst believes that growing chip production, rising system sales, and strong demand should help Nvidia boost its profits in the second half of the year. What Is Nvidia's Stock Forecast? According to TipRanks, NVDA stock has a Strong Buy consensus rating based on 35 Buys, four Holds, and one Sell assigned in the last three months. At $173.19, the Nvidia average share price target implies a 17.10% upside potential.
Business Insider
19-06-2025
- Business
- Business Insider
Nvidia-Backed SandboxAQ Introduces New AI Medical Data
SandboxAQ, an artificial intelligence (AI) startup backed by Nvidia (NVDA), released new data today that could help drug makers develop new medicines. This data includes details on how drugs connect to proteins, which could help scientists better determine the effectiveness of a treatment. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Interestingly, this data doesn't come from years of lab research. Instead, SandboxAQ produced it with the help of Nvidia's processors. This allowed it to create simulated synthetic molecules based on real-world data. SandboxAQ believes the information gleaned from these virtual tests of proteins will assist with training AI models. These models could then aid scientists as they research new medical treatments. Nadia Harhen, general manager of AI simulation at SandboxAQ, told Reuters that this will allow researchers to 'use the synthetic data in a way that's never been done before.' What Does This Mean for Nvidia? First off, Nvidia is already a backer of SandboxAQ, meaning it wants to see the company succeed. The introduction of new data to train AI models is a boon to NVDA, as it is the world's leading provider of graphics processing units (GPUs) used in AI servers. The more uses there are for AI, the higher the demand for AI servers. That will also push demand for Nvidia's products higher, boosting its business and potentially further securing its dominance in the AI sector. Recent analyst coverage backs up this idea. Five-star Barclays analyst Thomas O'Malley reiterated a Buy rating and increased his price target for NVDA stock to $200 from $170, suggesting a 38.77% upside. Is Nvidia Stock a Buy, Sell, or Hold? average NVDA stock price target of $173.19, representing a potential 20.17% upside for the shares.
Business Insider
18-06-2025
- Business
- Business Insider
‘Nvidia Stock Is Heading to $200,' Says Top-Rated Analyst
Nvidia (NVDA) just got a fresh vote of confidence from Wall Street. Indeed, top-rated analyst Thomas O'Malley at Barclays has raised his price target on the AI chip giant from $170 to $200 while maintaining a Buy rating. With NVDA shares already on a powerful run in 2025, the new target suggests that there could still be plenty of upside ahead. Confident Investing Starts Here: Here's Why Barclays Is More Bullish on Nvidia Barclays' new price target implies a potential upside of 39% from current levels, which is significantly higher than the Wall Street average of almost 20%. The price target increase is largely based on strong supply chain demand, which suggests strong performance in the second half of the year. Interestingly, after reviewing Nvidia's supply chain following its Q1 earnings, Barclays spotted around $2 billion in potential upside for July compared to Wall Street expectations. As a result, the firm raised its full-year Compute revenue forecast to $37 billion, up from $35.6 billion. For context, compute revenue forecast estimates how much a company expects to earn from its computing products or services over a time period. Barclays also noted that Nvidia's new Blackwell chips hit 30,000 wafers per month in June, which is below its earlier estimate of 40,000. However, the firm noted that factory usage remains strong, and the overall tone of the supply chain is optimistic for the second half of the year. That gives Barclays more confidence in Nvidia's performance for October. Furthermore, analysts at Barclays highlighted that system sales are gaining momentum and are expected to make up around 25% of revenue in July and around 50% by October. What Is the 12-month Price Target for Nvidia? According to TipRanks, NVDA stock has a Strong Buy consensus rating based on 35 Buys, four Holds, and one Sell assigned in the last three months. At $172.36, the Nvidia share price target implies a 19.7% upside potential.
