Goldman Sachs Boosts Nvidia Target to $210 on AI Ties

Goldman Sachs raised its Nvidia price target to $210, citing stronger profit outlooks and strategic upside from AI partnerships, including OpenAI. The bank maintained a Buy rating, applying a 35-times P/E multiple to its updated normalized earnings estimate of $6 per share. Goldman estimated OpenAI's infrastructure spending could reach $75 billion in 2026, supporting Nvidia's growth prospects. The firm expects circular deal revenue to represent less than 15% of total sales by 2027.

Goldman Sachs has increased its price target for Nvidia (NASDAQ: NVDA) to $210, reflecting a more optimistic outlook on the company's strategic positioning within the rapidly expanding artificial intelligence (AI) landscape. The investment bank has maintained a "Buy" rating on Nvidia stock, applying a 35-times price-to-earnings (P/E) multiple to its updated normalized earnings estimate of $6 per share Nvidia Stock (NVDA) Target Raised as Goldman Sachs^[1].

The revised target is based on a stronger profit outlook and significant upside from strategic partnerships, particularly Nvidia's collaboration with OpenAI. Goldman Sachs expects OpenAI's infrastructure spending to reach $75 billion in 2026, supporting Nvidia's growth prospects. The firm also anticipates that circular deal revenue will represent less than 15% of total sales by 2027 NVIDIA (NVDA) Is Up 6.0% After OpenAI Partnership and $100B AI Infrastructure Commitment - Has The Bull Case Changed?^[2].

Nvidia's stock, currently trading around $188.90, has seen a 0.7% increase in the pre-market trading session following Goldman Sachs' updated outlook. The markets are cautiously optimistic about the implications of the revised target and Nvidia's broader strategic maneuvers Nvidia Stock (NVDA) Target Raised as Goldman Sachs^[1].

Goldman Sachs' optimism is driven by Nvidia's position at the forefront of AI technological advancements. The company's collaboration with OpenAI positions it advantageously in this rapidly evolving field, promising substantial returns on investment. Additionally, Nvidia's exploration of revenue growth opportunities in China, signaled by CEO Jensen Huang's planned engagement with high-level Chinese government officials, further enhances the company's strategic positioning Nvidia Stock (NVDA) Target Raised as Goldman Sachs^[1].

Nvidia's market capitalization has surged, approaching levels seen by major tech giants like Apple, largely due to its dominance in the global AI chip and processor market. The markets recognize that as the world embraces AI, Nvidia is well-positioned to capitalize on the escalating investments in this transformative technology Nvidia Stock (NVDA) Target Raised as Goldman Sachs^[1].

However, sustained growth is contingent on Nvidia's ability to execute its strategies and translate partnerships into tangible financial results. The markets will be closely monitoring Nvidia's execution on these fronts, as they will play a pivotal role in shaping investor sentiment Nvidia Stock (NVDA) Target Raised as Goldman Sachs^[1].