Key Takeaways Loop Capital Markets, an investment bank, brokerage and advisory firm, raised its price target for Nvidia stock from $250 to $350 on Monday.
The move implies a market capitalization of $8.5 trillion if Nvidia hits that target.
Loop Capital analyst Ananda Baruah said that the tech industry is entering a “Golden Wave” of AI adoption, with Nvidia leading the acceleration in demand.
Last week, Nvidia made history as the first company to reach a $5 trillion market value. Now an analyst is predicting that the AI chipmaker will add trillions more to its valuation.
On Monday, Loop Capital Markets, a full-service investment bank, brokerage and advisory firm raised its price target for Nvidia stock to $350, up from $250, per Bloomberg. The move reflects more than 70% upside from its latest closing price of $202.49 and implies a market capitalization of $8.5 trillion if that target is achieved. The average target price for Nvidia is $231, placing Loop Capital’s target well above the norm.
Loop Capital analyst Ananda Baruah explained his rationale for the target, writing, “We are entering the next ‘Golden Wave’ of Gen AI adoption and NVDA is at the front-end of another material leg of stronger-than-anticipated demand,” per Bloomberg.
Related: Nvidia’s CEO Jensen Huang Says He’s ‘Created More Billionaires’ Than Anyone Else
Nvidia is increasing production of its Blackwell AI chips, which are expected to double in shipments over the next 12 to 15 months. The tech giant has also reportedly raised prices for its AI chips by 10% to 15% this year. Nvidia has a massive pipeline of AI orders lined up: Nvidia CEO Jensen Huang announced last week that the company has secured $500 billion in AI chip orders through 2026.
Nvidia CEO Jensen Huang. Photo by Ezra Acayan/Getty Images
While Bloomberg notes that Loop Capital’s $350 price target is the highest among Wall Street institutions, other major firms have also raised their targets, citing Nvidia’s leadership in the AI sector as the key to further growth. Rosenblatt Securities, for example, raised its price target on Nvidia from $215 to $240 on Monday.
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