Cantor Fitzgerald maintains overweight on NVIDIA stock, $200 target

Published 27/05/2025, 15:06
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On Tuesday, Cantor Fitzgerald reaffirmed its positive stance on NVIDIA Corporation (NASDAQ:NVDA), maintaining an Overweight rating and a $200.00 price target. The semiconductor giant, currently valued at $3.29 trillion, boasts a perfect Piotroski Score of 9 according to InvestingPro data, indicating exceptional financial strength. The firm’s analyst highlighted the upcoming May 28th earnings call as a potential catalyst for the company, suggesting it could clarify concerns and provide a positive outlook. Despite an anticipated $15 billion loss in Data Center revenues for the full year of 2025 due to restrictions in China, the analyst predicts a more optimistic revenue guide for the July quarter at $46.0 billion, slightly below the consensus of $46.3 billion. This comes as NVIDIA demonstrates strong momentum with 114.2% revenue growth over the last twelve months, though currently trading at a P/E ratio of 44.4x. This forecast accounts for a $5 billion impact from the China headwinds, which is expected to be mitigated by a significant ramp-up in NVIDIA’s Blackwell products.

The analyst anticipates that NVIDIA’s management will address a robust second-half demand environment for Data Centers during the earnings call. This is supported by increased visibility into the acceleration of rack-scale shipments, particularly with the GB300 product line, which is projected to reach approximately 25,000 units for the entire year of 2025. Based on these factors, Cantor Fitzgerald expects NVIDIA to achieve an earnings per share (EPS) of $5.00 in the calendar year 2025, exceeding the consensus estimate of $4.37, and anticipates EPS to grow to between $6.50 and $7.00 in the calendar year 2026, significantly above the consensus of $5.59.

The firm’s continued confidence in NVIDIA is driven by the expectation of revenue reacceleration in the second half of 2025. The analyst’s outlook suggests that NVIDIA is on a solid path to meet these projections, leading to the reaffirmation of the Overweight rating and the $200 price target. NVIDIA shares are also listed as a top pick by the analyst, indicating a strong conviction in the stock’s potential performance. InvestingPro analysis reveals over 15 additional investment tips for NVIDIA, along with comprehensive valuation metrics and growth indicators available in the Pro Research Report, helping investors make more informed decisions about this semiconductor leader.

In other recent news, NVIDIA is set to release its earnings report, with analysts from Piper Sandler maintaining an Overweight rating and a $150 price target, despite potential short-term revenue challenges. Piper Sandler’s Harsh Kumar suggests that macroeconomic uncertainties and the H20 ban could impact NVIDIA’s April quarter results, but remains optimistic about the latter half of the year. Meanwhile, BofA Securities continues to support NVIDIA with a Buy rating and a $160 price target, citing the company’s strategic role in the global AI deployment cycle. BofA’s Vivek Arya highlights a potential recovery in NVIDIA’s gross margins and China sales later this year.

Additionally, Stifel analysts have reiterated their Buy rating with a $180 price target on NVIDIA stock, forecasting a significant increase in business activities in the second half of the year. Stifel points to NVIDIA’s expansion in the UAE and Saudi Arabia as contributing factors, despite challenges from the H20 restrictions. NVIDIA is also planning to launch a new, lower-priced AI chipset in China, expected to enter mass production by June. This new chipset, part of NVIDIA’s Blackwell-architecture AI processors, will be priced between $6,500 and $8,000, offering a more affordable option compared to its H20 model.

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