What do Nvidia’s profits mean for AI trading and markets? Experts weigh in

Expected results from chip giant Nvidia eased concerns on Wall Street about the health of artificial intelligence trading.

Concerns may not have completely dissipated with Nvidia’s (NVDA) better-than-expected report, but many market watchers followed the results release late Wednesday with broadly bullish calls. (Reads Investopedia Complete coverage of today’s markets here.)

Here is a summary of some of those feelings:

“AI is driving global growth by offsetting trade-related headwinds,” Barclays analyst Ajay Rajadhyaksha wrote on Thursday. “We expect AI to be the most important macro factor in 2026, with traditional drivers such as monetary and trade policy fading. We believe fears of the collapse of the AI ​​narrative are overblown and expect the economic expansion to continue for another year.”

From Jake Behan, head of capital markets at Direxion: “Nvidia has just reiterated its role as an anchor for market sentiment,” he said in email comments. “A good report from Nvidia usually lifts the entire tech sector. At this point everyone knows companies are spending on AI, the real question is how fast they’re growing and what future quarters look like, and Nvidia is giving us the clearest sightlines on that. The takeaway from this beat is simple: AI spending isn’t just holding up, it’s accelerating. And that’s exactly what the market needs to see.”

Jefferies analysts raised their price target on Nvidia stock by $10 to $250. “Over the past few weeks, investor discussions on topics such as the robustness of AI spending have exploded,” they wrote. “We don’t expect all AI bears to be satisfied, but these results and additional context from management on the demand outlook should provide some near-term comfort.”

HSBC analyst Frank Lee maintained a $320 price target for Nvidia shares. “Nvidia’s management tone and expectations combined with rising tempo and results should help bring confidence back into the AI ​​narrative again.”

Brian Colello, chief equity analyst at Morningstar, raised his price target on Nvidia stock from $225 to $240. “We don’t see a lot of signs that 2026 will be a weak year for Nvidia in any way,” he said in email comments. “We believe Nvidia may have the best view of the AI ​​landscape given its location at the heart of the ecosystem, yet it offers investors incredible expectations and has more than delivered on its previous expectations thus far.”

“Nvidia is ground zero for building all of AI,” said Chris Zaccarelli, chief investment officer at Northlight Asset Management. “While a market downturn can happen at any time, as long as the economy is able to stay out of a recession, we expect the bull market to resume and reach all-time highs later this year and next year.”