Nvidia's H20 Chip Sales Resume, Needham Raises Target to $200.

NVIDIA's stock has been upgraded to a "Buy" rating by Needham analyst Rajvindra Gill, with a target price of $200. The firm believes the US government will grant export licenses for H20 chips, which were previously subject to export controls. Nvidia was unable to ship $2.5 billion worth of products to China in Q1 and had to pause $8 billion of H20 orders. Analysts conservatively model $3 billion of H20 shipments per quarter starting in Q3. The company may also develop Blackwell GPU variants for the China market.

NVIDIA's stock has been upgraded to a "Buy" rating by Needham analyst Rajvindra Gill, with a target price of $200. The firm believes the US government will grant export licenses for H20 chips, which were previously subject to export controls. NVIDIA was unable to ship $2.5 billion worth of products to China in Q1 and had to pause $8 billion of H20 orders. Analysts conservatively model $3 billion of H20 shipments per quarter starting in Q3. The company may also develop Blackwell GPU variants for the China market.

Needham analyst Rajvindra Gill has raised NVIDIA's stock price target to $200, citing the potential resumption of H20 chip sales to China. The analyst noted that the US government's assurance of export licenses for these chips could lead to a significant rebound in sales. According to Gill, the company is preparing to resume shipments of its H20 GPUs to China, which could generate $3 billion in quarterly sales starting in Q3 [2].

NVIDIA has been facing challenges due to export controls that have restricted its sales to China. The company was unable to ship $2.5 billion worth of H20 chips in Q1 and had to pause $8 billion in orders for the second quarter. However, with the US government's assurance of export licenses, NVIDIA is poised to regain its lost sales in the Chinese market. Analysts expect this to add a significant boost to the company's revenue and earnings [3].

In addition to the resumption of H20 chip sales, NVIDIA is also considering the development of Blackwell GPU variants tailored for the Chinese market. These variants, such as the B30 and B40/RTX 6000D, are expected to be in high demand and could generate additional revenue. The company is planning to begin volume shipments of these variants as early as August or September [2].

The upgrade in NVIDIA's stock rating and the potential resumption of H20 chip sales to China have been well-received by investors. The stock has seen a 4% increase following the announcement, reflecting the positive outlook on the company's future prospects [1].

References:
[1] https://www.thestreet.com/technology/major-analyst-revamps-nvidia-stock-price-target-after-china-surprise-
[2] https://www.benzinga.com/analyst-stock-ratings/reiteration/25/07/46453723/why-nvidias-china-comeback-could-propel-its-stock-to-new-heights
[3] https://www.cnbc.com/2025/07/15/nvidia-says-us-government-will-allow-it-to-resume-h20-ai-chip-sales-to-china.html