Nvidia in spotlight as Wall Street praises ‘very bullish’ results, guidance

It’s Nvidia’s (NASDAQ:NVDA) world, and we’re all just living in it.

Wall Street firms seemed to run out of superlatives to describe how extraordinary Nvidia’s stronger-than-expected results and guidance were, especially in light of the recent export controls to China.

Shares rose 6% in premarket trading, and were on track to regain the crown of most valuable company by market cap. Other semiconductor firms, such as AMD (AMD), Marvell (MRVL) and Broadcom (AVGO) also saw gains.

Wedbush Securities analyst Dan Ives described the quarterly results as “robust” and the commentary around demand as “very positive,” even when taking China into account.

“We continue to believe the path for Nvidia to a $4 trillion market cap and ultimately $5 trillion market cap over the coming years is on the horizon as this 4th Industrial Revolution plays out led by one chip in the world fueling AI … Nvidia,” Ives wrote.

Ives also noted that the recent deals from Saudi Arabia and the United Arab Emirates are early signs of the sovereign and government demand that Huang has talked about. And with ongoing U.S.-Sino trade negotiations seemingly going well, Nvidia could recapture the $8B in lost revenue from the H20 ban and then some.

“This is a very important print and guide for the broader tech world and it shows the AI Revolution is heading into its next gear of growth despite the Trump tariff war playing out,” Ives added.

Tech Stock Pros, Investing Group Leader for Tech Contrarians, said the results provided a “much-needed reset” after the China H20 ban. “The bottom line, however, is that Nvidia’s growth story is back on track after this print for at least the next two quarters,” they said via email.

With its latest results and guidance, Nvidia “fully” put digestion fears to rest and showed there is an acceleration of its business in every region, other than China, Morgan Stanley analyst Joseph Moore said.

“Everything should get better from here,” Moore added. He reiterated his Overweight rating on Nvidia and upped his price target to $170 from $160.

Bank of America analyst Vivek Arya also raised his price target (going to $180 from $160) and said he sees long-term earnings power of $10 per share for Nvidia, as artificial intelligence demand now incorporates enormous demand from sovereign nations.

Jefferies analyst Blayne Curtis said it’s “all systems go” for Nvidia, as the results showed supply challenges eased and some of the other segments that had been troublesome before — networking and gaming — returned to healthy growth.

“The biggest issue for the stock was the disconnect between Blackwell sales and GB200 shipments but that is now in the rearview as NVDA noted multiple hyperscalers ramping 1k NVL72s/week,” Curtis wrote. Further, the second-half of the year is “shaping up nicely” for Nvidia, with “likely beat/raises from here,” Curtis added.

What’s more, the results are indicative that Nvidia is likely to remain best-in-class, J.P. Morgan analyst Harlan Sur said.

“Bottom line, the team continues to maintain a 1-2 step lead ahead of competitors with its silicon/hardware/software platforms and a strong ecosystem, and the team is further distancing itself with its aggressive cadence of new product launches and more product segmentation over time,” Sur wrote.