Wells Fargo Bullish on Nvidia (NVDA): Raises Target Ahead of Q3 Earnings as AI Demand Explodes
Nvidia's AI dominance just got another Wall Street endorsement. Wells Fargo hikes NVDA price target, betting big on the chipmaker's upcoming earnings.
Why the optimism? The bank cites 'strong AI growth outlook'—code for Nvidia's near-monopoly on the GPUs powering the generative AI gold rush.
Meanwhile, analysts whisper about whether this is sustainable growth or just another hype cycle. After all, when was the last time Wall Street got excited about something that didn't involve buzzwords?
One thing's certain: Nvidia remains the casino chip of choice for AI speculators. Place your bets before November 15 earnings.
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In a note to investors, Rakers has made only slight adjustments to near-term estimates, but significantly raised projections for Fiscal 2027 and Fiscal 2028. The MOVE comes as major cloud providers ramp up investments in AI infrastructure.
Wells Fargo now models:
- FY26: Revenue of $209.2 billion and EPS of $4.61 (up slightly from $208.9 billion/ $4.60)
- FY27: Revenue of $301.6 billion and EPS of $7.05 (up from $281.7 billion/ $6.61)
- FY28: Revenue of $383.2 billion and EPS of $8.90 (up from $323.2 billion/ $7.51)
Analyst Sees Strong AI Demand and Supply Visibility
The key reason for this Optimism is Nvidia’s ability to scale up supply and maintain strong visibility into demand through 2026 and beyond. Further, the analyst suggested Nvidia’s 2027 EPS could climb above $9, slightly higher than the analyst’s current forecast of $8.90.
The updated $265 price target is based on a 30x P/E multiple on CY27 earnings, reflecting Nvidia’s “best-in-class positioning” in the ongoing AI and data center investment cycle.
Is Nvidia a Buy, Hold, or Sell Now?
On TipRanks, NVDA stock has received a Strong Buy consensus rating, with 37 Buys, one Hold, and one Sell assigned in the last three months. The average Nvidia stock price target is $240, suggesting an upside potential of 26.34% from the current level.
