TLDR
- Nvidia stock price climbs to $178.67, trading near all-time highs with strong momentum over past three months
- Evercore raises NVDA price target to $225 following CFO discussions about underestimated AI demand and NVLink technology
- Wall Street analysts split on $100 billion OpenAI infrastructure partnership, citing execution risks versus growth potential
- Data center spending forecast to surge from $600 billion to $3-4 trillion by 2030, driving long-term revenue growth
- NVDA stock trades at 41x forward earnings but appears attractive given projected 40-50% quarterly revenue growth rates
Nvidia stock continues climbing near record levels as investors weigh massive AI infrastructure investments against execution challenges. NVDA shares trade at $178.67, marking steady gains and maintaining position just below the all-time high of $184.55.
The stock has surged 22% over three months with technical indicators showing strong momentum. The Relative Strength Index approaches 68, nearing overbought territory while indicating continued bullish sentiment among investors.
Evercore analyst Mark Lipacis raised his NVDA price target from $214 to $225 after speaking directly with Nvidia’s CFO. The analyst highlighted Nvidia’s dominance as the “AI ecosystem of choice” thanks to its CUDA software platform and proprietary NVLink connectivity technology.
Lipacis increased 2026 revenue and earnings estimates by 2% but noted these projections may prove conservative if AI demand accelerates. The analyst believes NVLink technology positions Nvidia to become the industry standard for AI infrastructure.
Wall Street Divided on OpenAI Partnership Strategy
The $100 billion OpenAI collaboration has created division among Wall Street analysts. Some view the deal as cementing Nvidia’s AI infrastructure leadership while others express concerns about execution complexity and potential overreach.
The partnership includes deploying at least 10 gigawatts of AI infrastructure capacity. Nvidia management estimates the addressable market per gigawatt could reach $30-40 billion, suggesting a multi-trillion-dollar opportunity if fully executed.
Company commentary reveals OpenAI underestimated its compute requirements and is racing to scale capacity before hitting bottlenecks. This urgency supports Nvidia’s position as the primary beneficiary of AI infrastructure buildouts.
Barclays also raised its NVDA price target to $240, citing strong GPU demand and sustained pricing power through 2025. The firm expects Nvidia’s upcoming B100 chip to drive the next growth wave.
AI Data Center Spending Set for Explosive Growth
Nvidia forecasts total data center capital expenditures reaching $600 billion this year but expects global buildouts to hit $3-4 trillion by 2030. This represents massive growth potential for GPU demand.
Currently, only the U.S. and China invest heavily in AI technology. Europe’s emerging interest in AI represents another major market opportunity for Nvidia’s graphics processing units.
Data center construction timelines span multiple years, creating predictable GPU demand. Companies announcing projects today will need computing hardware when facilities become operational.
The company secured additional partnerships to strengthen market position. CoreWeave placed a $6.3 billion GPU order while Nvidia invested $5 billion in Intel to expand CPU capabilities.
Trading at 41 times forward earnings, NVDA stock appears reasonably valued given growth expectations. The company maintains profit margins above 52% with return on equity exceeding 90%.
Technical support sits in the $150-160 range while resistance holds at $184-185. Nvidia expects to maintain 40-50% quarterly revenue growth, making current valuations attractive for long-term investors focused on AI infrastructure expansion.
