Key Highlights
- Nvidia reached a fresh 52-week peak of $227.84 following Bank of America’s price target increase from $300 to $320, maintaining a Buy recommendation.
- Jensen Huang, Nvidia’s CEO, accompanied President Trump on a diplomatic trip to China, sparking speculation about potential H20 chip export approvals for Chinese companies.
- Analysts project Q1 FY2027 sales of $78.62 billion, representing a 78% increase from the previous year, with anticipated earnings per share of $1.74.
- BofA’s Vivek Arya highlighted potential upcoming drivers including a possible CPU announcement at Computex Taipei and the commencement of Vera Rubin AI system deliveries in the second half of 2026.
- The chipmaker’s valuation has surpassed $5.5 trillion, with an overwhelming majority of 48 out of 54 Wall Street analysts maintaining Buy or Strong Buy recommendations.
Shares of Nvidia (NVDA) climbed to $227.84 during Thursday’s trading session, marking a new 52-week high, following Bank of America’s decision to raise its price objective to $320 from its previous $300 target. The stock had settled at $220.78 in the previous session.
Vivek Arya, an analyst at BofA, increased the target based on projections of an expanding long-term AI data center marketplace and accelerating artificial intelligence investments. Arya holds the 81st position among more than 12,000 analysts tracked by TipRanks and has delivered an average return exceeding 82% for investors on Nvidia stock alone during the past year.
This upgrade occurred as Nvidia continued its impressive six-session rally leading up to its May 20 quarterly earnings announcement.
Citi analysts separately suggested that Nvidia’s first-quarter revenue could exceed the Street consensus by approximately $1.4 billion. The investment community broadly anticipates $78.62 billion in sales for the quarter that concluded on April 26, representing a 78% year-over-year surge. Earnings per share are projected at $1.74, marking a 115% increase compared to the same period last year.
Nvidia’s most recent quarterly disclosure, covering the fourth quarter of FY2026, reported revenue of $68.13 billion, surpassing projections of $65.56 billion. Earnings per share came in at $1.62, beating the consensus estimate of $1.54. Revenue climbed 73.2% compared to the prior year period.
Chinese Market Access Remains Critical Issue
Jensen Huang accompanied President Trump on his diplomatic journey through the Middle East and Asia, with market participants closely monitoring developments regarding export permissions. According to Reuters, Nvidia has secured authorization from U.S. authorities to distribute its H20 processors to approximately 10 Chinese enterprises. Nevertheless, no shipments have occurred due to resistance from Beijing discouraging domestic companies from submitting purchase orders.
Any breakthrough on this matter could represent a significant catalyst before the earnings announcement. Nvidia’s market capitalization currently exceeds $5.5 trillion, despite recording no revenue from China under existing export restrictions.
Analyst Outlook and Future Catalysts
Beyond the quarterly results, Bank of America identified several additional potential growth drivers. Arya anticipates a potential new CPU unveiling at Computex Taipei, following Nvidia’s March launch of the Vera CPU designed for autonomous AI applications. He also referenced the anticipated beginning of Vera Rubin AI system shipments during the latter half of 2026, along with the possibility of enhanced shareholder returns later this year.
Wells Fargo and Susquehanna have similarly increased their Nvidia price projections in advance of the earnings release.
Throughout the analyst community, the sentiment remains decidedly optimistic. Among 54 analysts monitored by MarketBeat, 48 assign Nvidia a Buy or Strong Buy rating, with two recommending Hold and zero suggesting Sell. The mean price target across all analysts sits at $277.32.
Nvidia’s shares trade above their 50-day moving average of $190.40 and their 200-day moving average of $187.78. The price-to-earnings ratio stands at 46.09, while the beta measures 2.25.
Institutional investors control 65.27% of outstanding shares. One potential concern: company insiders disposed of 906,336 shares valued at approximately $162.8 million during the past three months.
Trading volume on Thursday exceeded 149 million shares by midday, significantly above typical levels. Options market activity also intensified, with call volume registering unusually robust levels, indicating traders are preparing for additional gains ahead of the May 20 earnings announcement.
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