Tuesday, on the stock market, NVIDIA Corporation (NASDAQ:NVDA) shares maintained their position following Benchmark's reiteration of a Buy rating and a $190.00 price target. The semiconductor giant, now valued at $3.66 trillion with an impressive 204% return over the past year, continues to dominate the AI chip market.
According to InvestingPro data, NVIDIA maintains a perfect Piotroski Score of 9, indicating exceptional financial strength. The firm's analyst, Cody Acree, provided insights into the company's latest developments and the state of the artificial intelligence (AI) industry after NVIDIA's CEO, Jensen Huang, presented at the Consumer Electronics Show (CES).
Huang's presentation was described as a comprehensive overview of the AI industry's current and future landscape, highlighting NVIDIA's continued leadership in both hardware and software sectors. The company's strong position is reflected in its outstanding gross profit margins of 75.86% and revenue growth of 152.44% over the last twelve months.
Despite the technical advancements announced, the market anticipated more detailed updates on the rollout of NVIDIA's Blackwell platform and information on the next-generation GPU platform, Rubin.
The analyst acknowledged that while Huang showcased Blackwell's performance leadership and confirmed that the platform is in full production, with major Cloud Service Providers already implementing the system in various configurations, these details were largely anticipated by investors. The complexity of the Blackwell system, which includes a 1 1½ ton structure with 60,000 parts and two miles of copper cables, was also discussed.
However, there was no mention of the Rubin platform during the presentation. It is important to note that Rubin is not expected to be released until 2026. Despite the absence of new details on Rubin, Benchmark's analyst expressed that the CES presentation was a strong start to the year and reiterated the firm's positive stance on NVIDIA's stock with a $190 price target.
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In other recent news, NVIDIA has made significant strides in the AI and semiconductor sectors. The company recently launched new generative AI models and blueprints to enhance its Omniverse platform, aimed at advancing robotics, autonomous vehicles, and vision AI applications. These developments were unveiled at the Consumer Electronics Show (CES), with NVIDIA maintaining impressive gross profit margins of 76% and a perfect Piotroski Score of 9, indicating exceptional financial strength.
The company also announced a partnership with Arbe Robotics to enhance automotive free space mapping and AI-driven capabilities, integrating Arbe's ultra-high-definition radar technology with NVIDIA's in-vehicle computing platform. Notably, BofA Securities reiterated a Buy rating for NVIDIA, highlighting the company's continued dominance and growth opportunities in emerging markets.
Furthermore, NVIDIA's server assembly partner, Foxconn (SS:601138), reported a 15% revenue increase, exceeding expectations due to sustained demand for AI infrastructure. NVIDIA's CEO, Jensen Huang, is set to deliver a keynote speech at the 2025 Consumer Electronics Show, with the presentation expected to underscore the role of NVIDIA's innovative technology in powering artificial intelligence.
Finally, two U.S. senators have challenged the Biden administration's plan to limit the number of AI chips that companies can install in computing facilities in certain countries, warning that the proposed restrictions could significantly impede the sale of U.S. technology overseas and potentially drive foreign buyers towards Chinese competitors.
These recent developments highlight NVIDIA's strategic direction and product pipeline, as well as its potential in high-growth markets, from gaming to data centers and AI technologies.
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