Nvidia stock rose Tuesday, with bullish analysts and further signs of huge spending on infrastructure to support artificial-intelligence technology likely helping shares move higher.
Nvidia shares closed 2.5% higher at $131.38. The stock rose 1.9% on Monday.
After a brief fall into correction territory late last month, Nvidia looks to be…
Nvidia stock rose Tuesday, with bullish analysts and further signs of huge spending on infrastructure to support artificial-intelligence technology likely helping shares move higher.
shares closed 2.5% higher at $131.38. The stock rose 1.9% on Monday.
After a brief fall into correction territory late last month, Nvidia looks to be heading up again and threatening its record closing high of $135.58, once adjusted for its recent 10-for-1 stock split.
Nvidia got another boost from Wall Street as KeyBanc analyst John Vinh raised his target price on the stock to $180 from $130, while keeping an Overweight rating on the stock. The new target is 33% higher than the stock’s recent price. Vinh was the seventh analyst to raise Nvidia’s target in July, according to FactSet, though the average price target remains at $130.92, below where Nvidia is currently trading. Expect more target increases in the future.
Among other chip makers,
was down 0.9% and
rose 1.8% on Tuesday. Server maker
fell 0.4%.
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More signs of the huge amounts of money flowing into AI infrastructure came this week when privately held data center operator CyrusOne said Monday that it had secured a $7.9 billion line of credit to fund existing and future development projects in the U.S.
CyrusOne’s data centers house its customers’ equipment, so it isn’t a direct customer of Nvidia. However, it’s another sign of the expectations that AI will continue to grow, boosting demand for chips and data center sites. In North America, data center inventory grew by 24% during the first three months of 2024 from the same period a year earlier, according to commercial real estate company
CBRE
.
Nvidia shares have risen 159% this year through to Monday’s close. That compares with a 17% rise in the
index and a 23% jump in the
over the same period.
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Write to Adam Clark at adam.clark@barrons.com
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#Nvidia #Stock #Gains #Analyst #Raises #Price #Target #High