Blackwell Demand Drives NVIDIA Shares Higher, Says Craig-Hallum

Overview

NVIDIA Corporation (NVDA) shares have surged in recent trading sessions, driven by strong demand for its Blackwell platform, according to Craig-Hallum analyst Richard Shannon.

Shannon upgraded NVIDIA's rating from "hold" to "buy" and raised his price target from $265 to $320, citing the company's leadership in artificial intelligence (AI) and the potential for Blackwell to accelerate its growth.

Key Points

• Craig-Hallum analyst Richard Shannon upgraded NVIDIA's rating to "buy" and raised his price target to $320.
• The upgrade was driven by strong demand for NVIDIA's Blackwell platform, which is used for AI training and inference.
• Blackwell is expected to be a major growth driver for NVIDIA in the coming years.

Market Reaction

NVIDIA shares have responded positively to the upgrade, rising more than 5% in premarket trading.

Analyst Commentary

Shannon said in a note to clients that he believes Blackwell has the potential to "revolutionize the AI industry." He noted that the platform is already being used by major companies such as Google, Amazon, and Microsoft.

"We believe that Blackwell is a game-changer for NVIDIA," Shannon wrote. "It gives the company a significant competitive advantage in the AI market."

Risks

There are some risks associated with investing in NVIDIA, including competition from other AI companies and the potential for a slowdown in the global economy.

However, Shannon believes that the company's strong execution and leadership in AI make it a good investment for long-term investors.

Conclusion

Craig-Hallum's upgrade of NVIDIA is a positive sign for the company and its shareholders.

Blackwell is a major growth driver for NVIDIA, and it has the potential to revolutionize the AI industry.

Investors should consider the risks associated with investing in NVIDIA, but the company's strong execution and leadership in AI make it a good investment for long-term investors.