NVIDIA Corporation (NASDAQ:NVDA) shares rattled the Street with a stark 9% drop yesterday and have been on a downward spiral ever since the chip giant first posted fourth-quarter earnings. Nonetheless, top analyst Vijay Rakesh at Mizuho remains undeterred in his bullish optimism for the stock’s long-term potential.

Particularly “[…] as NVDA continues to drive secular trends in gaming, VR, Automotive, Data Center and Deep Learning,” the analyst reiterates a Buy rating on shares of NVDA with $130 price target, which represents a just under 29% increase from current levels.

In fact, with new releases just around the corner, which includes Take-Two’s buzz-worthy Red Dead Redemption 2 coupled with Activision’s Destiny, the analyst puts confidence in gaming to save the day for the short-term shaken giant.

“We believe while there is some worry that gaming is slowing down with JanQ(F1Q18) gaming revenues by our estimates down 11-14% q/q, we would note NVDA’s gaming revenues were down (15%) q/q last year F1Q17 and (9% q/q) F1Q16 and we believe similarly in F1Q15. […]  NVDA had tailwinds in June LY with the Titan launch, but we believe it would be premature to write off the gaming cycle on one quarter of seasonal softness,” argues the analyst.

Another long-term advantage shines on the giant’s Data Center as well as with Deep Learning, where NVDA’s Data Center benefits from lack of competition. As Deep Learning as well as Artificial Intelligence continue to take center stage among the public eye, NVDA stands on solid ground thanks to this trend ready to span the test of time.

Additionally, the analyst anticipates the chip giant will be revving up on the automotive front on back of Drive PX2, even if the transition is not immediate. Sizing up the situation to next year, Rakesh sees Drive PX2 ramps jump-starting by late third and fourth quarter into 2018.

Rakesh is looking at the bigger picture and concludes, “We would be buyers with the recent ~15% pullback in NVDA post earnings. We believe gaming and Deep Learning will continue to be L-T sustainable trends as new titles get released and Enterprise transforms from agility and speed to a smarter, efficient, predictive enterprise. With NVDA presenting at upcoming conferences and going into JunQ with E3 and GTC, we believe it should give investors more clarity and position for upside.”

Vijay Rakesyh has a very good TipRanks score with a success score of 73% and a high ranking of #36 out of 4,499 analysts. Rakesh garners 27.2% in his yearly returns. When recommending NVDA, Rakesh realizes 32.8% in average profits on the stock.

TipRanks analytics demonstrate NVDA as a Buy. Out of 28 analysts polled by TipRanks in the last 3 months, 15 are bullish on NVIDIA stock, 9 remain sidelined, and 4 are bearish on the stock. With a return potential of nearly 14%, the stock’s consensus target price stands at $114.91.

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