Citi maintains NVIDIA stock Buy rating, $163 target

Published 12/03/2025, 10:48
© Reuters

On Wednesday, Citi analysts reiterated their Buy rating and $163.00 price target for NVIDIA (NASDAQ:NVDA), expressing optimism ahead of the company’s upcoming GPU Technology Conference (GTC). According to InvestingPro data, NVIDIA currently trades at a P/E ratio of 37.18, with analysts maintaining a strong buy consensus and price targets ranging from $130 to $220. The event, scheduled for next week, will feature a keynote by CEO Jensen Huang on March 18 and a Financial Analyst Q&A session on March 19.

The Citi analysts highlighted that investor attention is likely to center on the specifications and performance of NVIDIA’s Blackwell Ultra and Rubin platforms, particularly in comparison to custom ASIC solutions for inference tasks. The stock’s current valuation metrics deserve attention, with InvestingPro showing impressive revenue growth of 114.2% and a perfect Piotroski Score of 9, indicating strong financial health. Additionally, the analysts pointed out that risks related to NVIDIA’s sales exposure to China and Singapore, which account for roughly 28% of its sales, have been fully mitigated according to their calculations, in light of recent AI diffusion rules.

Despite the positive outlook, Citi acknowledged that investors are awaiting a "clearance event" regarding the impact of AI restrictions and tariffs on NVIDIA’s gross margins. However, they believe that NVIDIA is not currently in a position to provide detailed commentary on these issues.

NVIDIA’s GTC conference is a significant event for the company, where it showcases its latest advancements in graphics processing technology and artificial intelligence. The discussions and revelations at the conference could provide further insights into NVIDIA’s strategic direction and its ability to navigate the current regulatory environment.

In other recent news, NVIDIA Corporation has implemented a new Variable Compensation Plan for Fiscal Year 2026, which ties executive pay to achieving specific revenue targets. This plan is part of NVIDIA’s strategy to align executive interests with those of shareholders, as detailed in a filing with the Securities and Exchange Commission. Meanwhile, Citi analysts have maintained a Buy rating on NVIDIA shares with a target price of $163, despite recent stock price declines and macroeconomic concerns. The analysts highlight potential risks related to AI diffusion rules and tariffs but express confidence in the stock’s long-term potential.

Additionally, Hon Hai (TW:2317) Precision Industry Co., known as Foxconn (SS:601138), reported a 25% revenue increase in early 2025, driven by strong demand for AI computing, benefiting key clients like NVIDIA. This growth follows NVIDIA’s announcement of $11 billion in quarterly revenue from its Blackwell chip, noted as the fastest product ramp in the company’s history. Broadcom (NASDAQ:AVGO)’s optimistic forecast, which includes increased production of AI chips, has also positively impacted NVIDIA’s market performance recently. These developments underscore the ongoing demand and investment in AI technology, influencing NVIDIA’s business landscape.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.