Sensible investors should wait for THIS entry point before purchasing Nvidia stock

With the advent of the artificial intelligence (AI) age, semiconductor behemoth Nvidia (NVDA) has experienced extraordinary sales and earnings growth. Increased demand for AI computing and the company’s sophisticated GPU solutions have resulted in considerable financial growth. CEO Jensen Huang’s long-term vision and willingness to take measured risks put Nvidia at the forefront of artificial intelligence. Between 2015 and 2024, revenue increased from $4.7 billion to $60.9 billion. If the average predictions are correct, the corporation might earn $129.3 billion in revenue for fiscal 2025. 

Nvidia’s progress has been fantastic. The corporation has become a significant power in AI, gaming, and data centers. The growth of AI and machine learning has driven demand for its H100 and A100 GPUs. Nvidia, led by co-founder and CEO Jensen Huang, took several risky decisions that paid off. It pursued AI and deep learning when others were dubious. In 2006, the firm released the CUDA platform, which enabled GPUs to be utilized for general-purpose computing. This was a critical step toward AI since the CUDA platform currently serves over 5.5 million developers worldwide, providing the corporation a competitive advantage over competitors.

So far, fiscal 2025 has been a great success for the organization. In the third quarter of fiscal 2025, overall sales grew 94% year on year to $35.1 billion, while adjusted profitability increased 103% to $0.81 per share. Nvidia’s daring choice to invest in AI data centers has proven successful. It is currently the greatest revenue driver, thanks to advances in artificial intelligence. Data center revenue increased by 112% to $30.8 billion, accounting for about 88% of total revenue. Furthermore, numerous telecommunications companies, including T-Mobile (TMUS) and Ericsson (ERIC), have embraced Nvidia’s AI Aerial platform to help expedite the industrialization of AI-RAN.  

What Is Wall Street Saying About Nvidia Stock Now?

Tristan Gerra, an analyst at Robert W. Baird, has confirmed his “Buy” rating for NVDA shares. Gerra feels that, despite competition and cyclical risks in the semiconductor business, “Nvidia’s strong positioning and performance gains” justify his rating and $195 price target. Separately, Oppenheimer analyst Rick Schafer maintained his price target of $175.

On Wall Street, Nvidia stock is still a “Strong Buy.” Out of the 43 analysts that follow the stock, 37 suggest it as a “Strong Buy,” two as a “Moderate Buy,” and four as a “Hold.” The average target price of $176.95 indicates that Nvidia stock can rise by almost 30% from present levels.