The bar for Nvidia earnings was set excessive, and analysts really feel just like the chipmaker cleared it. In fiscal fourth quarter, the graphic processing unit designer earned an adjusted 89 cents per share on $39.33 billion in income. That exceeds the 84 cents per shares and income of $38.05 billion that analysts polled by LSEG had penciled in. However the firm’s April gross margin steering for 71% got here barely beneath Wall Road consensus. Which may be the trigger for the inventory’s subdued post-earnings response. Shares have been up 1% within the premarket. Here is what analysts at among the greatest outlets on Wall Road needed to say on the report. Morgan Stanley, chubby ranking, $162 per share worth goal Analyst Joseph Moore’s goal, which was raised from $152, implies about 23% upside from Wednesday’s shut. “Put in perspective, this has been a outstanding progress part for NVIDIA. In a transitional quarter, the place Hopper was ⅔ of information middle income and so they have been wrestling with ‘unprecedented complexity’ of latest Blackwell kind elements, the corporate nonetheless grew 18% q/q, beat steering by nearly $2bn – which has turn into routine, however price repeating that no semiconductor firm ever did that earlier than NVIDIA began doing it – guided for robust progress once more, and returned to very constructive language round ‘superb’ ranges of Blackwell demand.” Citi, purchase ranking, $163 per share worth goal Citi’s forecast corresponds to upside of round 24%. “Blackwell gross sales of $11B exceeded expectations (Citi $10B) as ramp appears to be on observe now after hiccups final 12 months and Nvidia expects robust progress in 2025. Inference demand is accelerating publish reasoning fashions like DeepSeek as lengthy reasoning requires 100x extra compute per job vs one shot inference. Gross margin outlook was 170/80 bps beneath Citi/Road on preliminary Blackwell combine however anticipated to exit mid 70’s late FY,” wrote analyst Atif Malik. “For long-term buyers keen to look by way of these considerations, valuation seems to be enticing at 23x CY26 EPS and inventory gives a pretty entry level.” JPMorgan, chubby ranking, $170 per share worth goal JPMorgan’s goal requires 29% upside going ahead. “Demand for Blackwell could be very robust and can proceed to outstrip provide for a number of quarters. We consider the workforce did job on addressing AI mannequin improvements like DeepSeek and so they proceed to consider that there are a number of phases/ and improvements in fashions that can drive general compute complexity increased and maintain the demand for extra and better efficiency compute infrastructure,” mentioned analyst Harlan Sur. “Backside line, the workforce continues to keep up a 1- 2 step lead forward of rivals with its silicon/ {hardware}/software program platforms, and a robust ecosystem and the workforce is additional distancing itself with its aggressive cadence of latest product launches and extra product segmentation over time.” Barclays, chubby ranking, $175 per share worth goal Analyst Tom O’Malley’s forecast is 33% above Nvidia’s Wednesday closing worth. “From a prime line perspective numbers got here in a bit lighter than what we thought for April, however this was at all times the largest quarter of threat in our eyes,” analyst Tom O’Malley wrote. “In all, NVDA has earned a really excessive bar and wasn’t in a position to ship on its normal beat/elevate cadence, however we expect the corporate is executing easily by way of the product transition and now trades within the low 20x fwd P/E with the largest threat to this 12 months accounted for.” Evercore ISI, outperform ranking, $190 per share worth goal Analyst Mark Lipacis’ worth goal was roughly 45% increased than Nvidia’s closing worth on Wednesday. “We proceed to view NVDA as a prime decide publish a JanQ 5% EPS beat and AprQ 1% outlook elevate with bullish feedback on Blackwell ramp and demand outlook. Importantly, Blackwell revs of $11bn within the JanQ have been properly above expectations, and mgmt. made the case for glorious visibility in CY25. Decrease GMs have been the fly within the ointment, however the firm expects them to bounce again to mid-70% vary by EoY,” analyst Mark Lipacis wrote. Financial institution of America, purchase ranking, $200 per share worth goal Financial institution of America upped its worth goal to $200 per share from $190, equating to 52% upside. “We reiterate our Purchase ranking on NVDA as the corporate stays in a dominant place of main the AI market in direction of compute-intensive inference, agentic functions, and bodily AI/robotics,” mentioned analyst Vivek Arya. “We perceive the will to diversify portfolios away from AI/cloud, however we consider this underappreciates the stable tempo of AI investments and NVDA’s compelling valuation. Visibility in non-AI markets stays muted, and plenty of of these shares commerce at increased valuation than NVDA which doesn’t appear cheap to us. We count on NVDA to re-energize as pleasure builds for its flagship GTC tradeshow in mid-March.”
