This tech stock expert got more bullish on Nvidia ahead of earnings and here’s why

One of Nvidia’s bulls is getting bullish.

Analysts at Oppenheimer boosted their target on the chipmaker’s stock to $265 from $225, telling clients yesterday they believe Nvidia “remains better positioned to win in AI” after CEO Jensen Huang highlighted strong demand for its AI chips at an event last month.

Nvidia (NVDA) shares fell 4% to about $186 in recent trading, as the technology sector led losses on major U.S. indexes on Thursday. (Read our daily coverage of the markets here.) Going into today’s session, the stock was up 44% year-to-date, though the stock is down from the record high of $212 set late last month.

Technology stocks have fallen recently amid concerns about an AI bubble, with a weak reaction to strong earnings from rival Advanced Micro Devices (AMD) last week and shares of AI software darling Palantir (PLTR) falling after its better-than-expected results suggest investors may have become harder to convince, with weaker bonuses and bigger penalties in response to quarterly results.

That could mean a more challenging setup for Nvidia, as the chipmaker prepares to report its quarterly earnings after the closing bell next Wednesday.

However, the big jump in AMD’s share price yesterday after the company unveiled ambitious new targets and CEO Lisa Su told analysts that the company is seeing “insatiable” demand could signal the potential for Nvidia to get more support from new announcements, despite some doubts about the AI ​​business.

Most Wall Street analysts believe Nvidia stock has room to rise, with 13 out of 14 analysts calling current ratings compiled by Visible Alpha a “buy” compared to one “hold.” Their average target around $212 suggests a 9% upside from Wednesday’s close.