Bank of America Increases Price Target on Nvidia Stock

Nvidia's stock surges 4% after unveiling new AI chip Rubin. Bank of America raises price target to $1,500, sparking bullish sentiment.

Nvidia, a leading tech company, saw its stock rise by 4% on Monday afternoon following the announcement of its latest next-generation chip, Rubin, focusing on artificial intelligence applications. This news comes as the company continues to accelerate its pace of AI chip advancement, promising new models on a yearly basis, a significant shift from its previous two-year update timeline.

In response to this news, Bank of America raised its price target for NVDA stock to $1,500, a 37% increase from Friday's closing price. This optimistic outlook is in line with other analysts who have also raised their price targets for Nvidia, with the overall average standing at $1,197.64 and a consensus rating of strong buy.

While some analysts remain cautious, such as DZ Bank with a hold rating and $1,025 price target, others like Goldman Sachs and KeyCorp have raised their price objectives for NVDA stock. This trend of increasing price targets reflects the growing optimism surrounding Nvidia's future prospects in the AI chip market.

Overall, Nvidia's continued innovation in AI technology and the positive outlook from analysts suggest a bright future for the company and its stock. Investors may want to consider the potential for further growth in this rapidly evolving sector.