Mizuho Predicts Nvidia Stock to Hit $170 in Q1 2025: Here's Why
Friday, Dec 13, 2024 3:23 am ET
3min read Mizuho analyst Jordan Klein has a bullish outlook for Nvidia (NVDA) stock, predicting it could reach the $160-170 level in the first quarter of 2025. This forecast is supported by the company's strong financial results and strategic positioning in the growing AI market. Nvidia's upcoming product, Rubin, an AI supercomputer designed to accelerate AI workloads, is expected to be a significant driver of this growth. With Nvidia's dominant market share in data center GPUs and its pricing power, the company is well-positioned to capitalize on the increasing demand for AI infrastructure. As AI spending is forecast to reach $1 trillion over the next four years, Nvidia's stock price could indeed reach $170 in Q1 2025, driven by the success of Rubin and other upcoming products.
Nvidia's dominance in AI data center chips, with a 98% market share, drives its stock price prediction. The company's H100 GPU was highly popular in 2023, and its new Blackwell architecture-based chips offer significant performance improvements, driving demand from data center operators like Microsoft and Amazon. Nvidia shipped 13,000 Blackwell samples in Q3 2024, with Morgan Stanley predicting up to 800,000 units in Q1 2025. This growth, combined with Nvidia's pricing power and strong earnings, supports Mizuho's $170 stock price prediction for Q1 2025.
In conclusion, Mizuho's bullish outlook for Nvidia stock is well-founded, given the company's strong financial performance, dominant market share, and upcoming products like Rubin. As AI spending continues to grow, Nvidia's strategic positioning in the AI market and pricing power make it an attractive investment opportunity. Investors should closely monitor Nvidia's progress and consider the potential impact of its upcoming products on the company's stock price.
Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.
