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Investing.com - Cantor Fitzgerald raised its price target on Nvidia (NASDAQ:NVDA) stock to $300 from $240 while maintaining an Overweight rating following meetings with company executives in New York. The stock, currently trading near its 52-week high of $191.05, has seen 29 analysts revise their earnings estimates upward for the upcoming period, according to InvestingPro data.
The investment firm’s revised outlook comes after discussions with Nvidia CEO Jensen Huang, CFO Colette Kress, and other senior executives, where the company outlined its vision for the ongoing artificial intelligence infrastructure build-out. With a market capitalization of $4.6 trillion and impressive revenue growth of 71.55% over the last twelve months, Nvidia maintains its position as a dominant force in the semiconductor industry.
Cantor Fitzgerald emphasized that the AI market is "not a bubble," describing it as the "early innings of a multi-trillion AI Infrastructure build-out" with hyperscalers alone providing visibility into hundreds of billions in demand over the next few years. Want deeper insights into Nvidia’s valuation and growth potential? InvestingPro offers exclusive access to over 20 additional ProTips and comprehensive financial analysis.
The firm highlighted Nvidia’s new partnership with OpenAI, which aims to establish OpenAI as a self-hosted hyperscaler, potentially reducing the cost difference between Nvidia products and ASICs to an average of 15% by eliminating margin stacking from server manufacturers and cloud service providers.
Cantor Fitzgerald projects Nvidia could achieve $8 in earnings per share by calendar year 2026 and $11 in 2027, significantly higher than consensus estimates of $6.26 and $7.36 respectively, and expects Nvidia to secure at least 75% of the AI accelerator market over time.
In other recent news, Hoth Therapeutics has expanded its artificial intelligence initiative by securing annual NVIDIA AI Enterprise Essentials licenses. This move is set to enhance its GPU-powered infrastructure, facilitating advanced machine learning and neural network modeling for pharmaceutical research. Meanwhile, PubMatic announced a successful collaboration with NVIDIA, achieving a fivefold increase in the speed of advertising decision processing. This improvement has significantly reduced auction timeouts, unlocking previously lost revenue for the company.
IREN Limited also reported progress by signing new multi-year cloud services contracts with leading AI companies for NVIDIA Blackwell GPU deployments. The contracts cover 11,000 of the 23,000 GPUs, expected to generate approximately $225 million in annualized run-rate revenue. In another development, AMD’s agreement to supply AI chips to OpenAI is on track, with plans for a significant deployment starting in the second half of 2026. Analyst Ming Chi-Kuo from TF International Securities noted that this deal aligns with AMD’s current wafer order plans, potentially bringing in substantial revenue.
Additionally, White House AI czar David Sacks underscored the importance of maintaining US dominance in the global AI market, citing the AMD-OpenAI deal as a sign of the booming and competitive nature of the industry.
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