Oppenheimer analyst Rick Schafer is out with a research note on shares of Nvidia (NASDAQ:NVDA), following a meeting with Nvidia’s vice president of investor relations Simona Jankowski at the Oppenheimer’s 16th Annual Semiconductor Bus Tour.
Schafer wrote, “Tone of the meeting was notably bullish as management laid out recent announcements highlighting the strength of NVDA’s lead dog position in core gaming, DC AI, and autonomous. Most recently, NVDA announced that Volta is the solution driving the fastest supercomputer in the world. Ms. Jankowski outlined long-term growth opportunities in AI-accelerated training, inference and hyperscale. NVDA’s near-100% share of training appears unchallenged near term. Longer term, inference presents a likely larger (and largely untapped) opportunity. NVDA inference share has been small to date, with CPU heretofore dominating the segment. The introduction of Tensor RT4 likely changes that, opening the door for significant future share grab. Tensor-based Volta leverages NVDA IP across training and inference. Near term, management expects NVDA DC/cloud inference shipments to double Q/Q. Management pegs DC TAM at $50B by 2023. We are bullish on NVDA’s outlook and see the company ideally leveraged to some of the most attractive secular growth themes in semiconductors.”
Net net, Schafer remains sidelined on NVDA stock with a Market Perform rating.
Schafer has a very good TipRanks score with a 73% success rate and a yearly average return of 17.3%. Notably,the analyst is ranked #80 out of 4830 analysts.
If we turn to the Street in general, we can see that the stock also has a Buy analyst consensus rating. In the last three months, Nvidia has received 19 buy and 8 hold ratings. These analysts have an average price target on the stock of 286.74, which suggests a 7% upside from the current share price.
Nvidia shares are up nearly 2% or $4.61 as of 10:42AM EDT, hitting a new 52-week high of $268.