Nvidia stock price target raised to $206 from $200 at Morgan Stanley

Published 18/08/2025, 12:10
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Investing.com - Morgan Stanley (NYSE:MS) raised its price target on Nvidia (NASDAQ:NVDA) to $206.00 from $200.00 while maintaining an Overweight rating on the stock. The semiconductor giant, currently trading near its 52-week high with a market capitalization of $4.4 trillion, shows strong momentum according to InvestingPro data.

The firm increased its revenue forecast for Nvidia’s July quarter to $46.6 billion, up from its previous estimate of $45.2 billion. For the October quarter, Morgan Stanley now projects revenue of $52.5 billion, compared to its prior forecast of $51.3 billion. These projections align with Nvidia’s impressive 86.17% revenue growth over the last twelve months, with the company maintaining an excellent Financial Health Score of 3.78 on InvestingPro.

Morgan Stanley believes these figures still represent "undershipping end demand" and expects momentum to continue into next year. The firm noted that if China fully returns to the market, it would add to their current projections.

The price target increase reflects Morgan Stanley’s higher 2026 estimates, with revenue now projected at $273.2 billion (up from $264.6 billion) and non-GAAP earnings per share at $6.51 (up from $6.28).

Morgan Stanley maintained its target multiple of approximately 33x its market-weighted calendar year 2025 EPS estimate, which is now $6.25, resulting in the new $206 price target.

In other recent news, Nvidia has entered a significant partnership with the U.S. National Science Foundation (NSF) to advance artificial intelligence models for scientific discovery. This collaboration involves a combined investment of $152 million, with $75 million from NSF and $77 million from Nvidia, in support of the Open Multimodal AI Infrastructure to Accelerate Science project. Additionally, Nvidia will pay 15% of its Chinese H20 chip sales to the U.S. government, as confirmed by President Donald Trump, following negotiations led by Nvidia CEO Jensen Huang. On the financial front, Nvidia has received positive attention from analysts, with Mizuho (NYSE:MFG) raising its stock price target to $205, citing strong AI server growth. Piper Sandler also raised its price target to $225, highlighting Nvidia’s potential in the Chinese market and anticipating positive quarterly results. Meanwhile, U.S. Treasury Secretary Scott Bessent suggested that a revenue-sharing deal with China on semiconductor sales could potentially expand to other sectors. These developments reflect Nvidia’s strategic moves in both technological advancements and international trade agreements.

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

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