Nvidia August Target $225…Earnings, Blackwell, Rubin are Key to Rise

▲ 엔비디아(NVDA)/AI 생성 이미지 ©

A forecast suggests that Nvidia's (NVDA) stock price could rise to $225 by August 31, driven by investments in artificial intelligence infrastructure and data center demand.

According to crypto media outlet Finbold on August 2 (local time), ChatGPT calculated Nvidia's expected closing price at the end of August to be $225, with a forecast range of $205 to $245. The previous closing price was reported as $200.

By scenario, a 25% probability was assigned to a bearish outlook where the stock price drops to $190, a 50% probability to a base outlook where it reaches $225, and a 25% probability to a bullish outlook where it rises to $250. The most likely path is $225, but the possibility of deviating from this forecast range depending on earnings results remains open.

The key driver for the rise is the expansion of AI-related capital expenditures. Hyperscalers such as Microsoft, Amazon, and Meta are expected to invest approximately $140 billion in AI by 2026. This factor supports the demand for Nvidia's Graphics Processing Units (GPUs) and data center equipment. While the Blackwell platform is expanding among cloud and enterprise customers, the release of the next-generation Rubin architecture is also cited as an additional growth factor.

The earnings announcement on August 26 is the biggest variable that will determine short-term stock prices. Nvidia reported revenue exceeding $80 billion in the most recent quarter, with the data center business accounting for most of it. Analysis suggests that if earnings and forecasts exceed market expectations, the stock price could move towards the upper end of the expected range, but if earnings guidance falls short of expectations, it could be pushed lower.

The Sovereign AI initiative, which signifies the construction of national-level artificial intelligence infrastructure, has also emerged as a new opportunity. Nvidia was recently mentioned as a company participating in a $1 billion AI infrastructure contract related to Naver. While high corporate valuation, intensifying competition, and uncertainty in long-term AI spending are risk factors, investments in computing infrastructure by companies and nations are expected to support Nvidia's growth.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*