Key Takeaways
- Historical data shows NVDA has outperformed the SOX index by up to 45% in three-month periods following GTC events, according to Wells Fargo analysis
- BofA maintains its Buy recommendation with a $300 price objective, highlighting that NVDA currently trades at approximately 17x forward PE — among its lowest historical multiples
- Company anticipated to showcase next-generation co-packaged optic switch technology and provide refreshed guidance on Feynman GPU architecture and Kyber NVL576 systems
- The rise of agentic AI workloads has sparked renewed demand for CPU architecture — Nvidia’s Vera CPU has entered production with deployments at Meta facilities, full-scale launch targeted for 2027
- Industry observers note emerging supply constraints in the CPU segment, with major chipmakers reporting lead times extending to six months and pricing pressure exceeding 10%
As Nvidia (NVDA) prepares for its flagship GTC conference scheduled for March 16–19 in San Jose, California, market analysts are positioning the event as a potentially significant driver for both the stock and the wider chip industry.
Aaron Rakers and his team at Wells Fargo have taken an optimistic stance, describing themselves as “NVDA buyers ahead of the event.” Their analysis reveals a consistent pattern: over the three-month windows following previous GTC gatherings, NVDA has typically surpassed the SOX semiconductor benchmark by approximately 30% on average, with performance ranging from +12% to as high as +45%.
Meanwhile, Bank of America’s Vivek Arya has maintained his Buy recommendation alongside a $300 price objective. Arya highlighted that current valuation metrics show the stock changing hands at roughly 17x forward earnings — a multiple near historical lows — despite the successful Blackwell platform launch that reportedly delivered around $500 billion in aggregate revenue.
CEO Jensen Huang is scheduled to present his highly anticipated keynote Monday at 2 p.m. ET. Additionally, he’ll facilitate an industry discussion panel Wednesday afternoon. Major technology companies including OpenAI, Google DeepMind, Meta, Microsoft, and Tesla are confirmed participants in primary stage presentations.
Regarding product announcements, industry watchers anticipate Nvidia will introduce its next-iteration co-packaged optic switch, incorporating Taiwan Semiconductor’s advanced co-packaged optic capabilities. Mass production is projected to accelerate in 2027, targeting approximately 80,000 units. Additional commentary on the Feynman GPU roadmap and Kyber NVL576 rack architecture is also expected.
Wells Fargo analysts project that Nvidia may revise its pipeline projections upward, potentially elevating cumulative revenue forecasts from $500 billion to above $600 billion through 2026. Rakers additionally questioned whether the company will adjust its $3–$4 trillion annual global AI infrastructure spending estimate for 2030.
CPU Architecture Gains Prominence
Beyond graphics processing units, an important transformation is occurring. Agentic AI — workflow-coordinating artificial intelligence that manages multiple autonomous agents — demands computational resources distinct from conventional AI inference models. This evolution is creating unprecedented demand for central processing unit technology.
Dion Harris, Nvidia’s head of AI infrastructure, explained to CNBC recently that “CPUs are becoming the bottleneck in terms of growing out this AI and agentic workflow.” The company’s Vera CPU has entered production phase and is currently operating within Meta data centers following a multi-year partnership revealed in February. Nvidia anticipates broader deployment throughout 2027.
Several thousand independent Nvidia CPUs are currently operational at the Texas Advanced Computing Center and Los Alamos National Lab facilities. Bank of America forecasts suggest the CPU market segment could expand significantly, growing from $27 billion in 2025 to approximately $60 billion by decade’s end.
At this year’s GTC, Nvidia is anticipated to display a CPU-exclusive rack configuration on the exhibition floor — demonstrating the company’s strategic commitment to standalone CPU infrastructure.
Market Constraints Intensify
The wider CPU marketplace faces mounting pressure. Both AMD and Intel have alerted clients about supply limitations, with fulfillment timelines extending up to six months and pricing increases exceeding 10%, per Reuters reporting.
AMD’s data center leader Forrest Norrod characterized demand growth over recent months as “unprecedented” in comments to CNBC. Intel indicated that inventory levels will reach their lowest point this quarter, though the company anticipates supply conditions will improve throughout Q2 2026.
Presently, Nvidia reports it hasn’t experienced substantial CPU delivery delays. Harris noted the company’s supply chain infrastructure has successfully accommodated demand, partially because the majority of its CPUs ship integrated within complete rack-scale configurations alongside GPUs.
Mercury Research data indicates Nvidia captured 6.2% of the server CPU market during Q4 2025, trailing Intel’s 60% and AMD’s 24.3%. Additional equities potentially influenced by GTC announcements include AMD, Taiwan Semiconductor, Broadcom (AVGO), Intel, and Marvell (MRVL).
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