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Analysts Adjust Nvidia Stock Price Targets After Earnings

Analysts broadly remain optimistic toward the chip stock

Managing Editor
Aug 16, 2019 at 10:21 AM
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Shares of chipmaker Nvidia Corporation (NASDAQ:NVDA) are soaring this morning, in reaction to the company's impressive second-quarter earnings and revenue beat. Nvidia cited increased demand for high-end video game graphics chips as the main driver, sending NVDA stock up 6.7% to trade at $158.79.

Analysts have been quick to respond, with Mizuho and J.P. Morgan Securities issuing price-target cuts to $185 and $200, respectively. Meanwhile, BMO, Craig-Hallum, and Morgan Stanley served up price-target hikes to $145, $170, and $180, respectively. The majority of analysts remain optimistic toward the security, with 19 of 28 sporting a "buy" or "strong buy" rating. Meanwhile, the stock's average 12-month price target comes in 14% above current levels, at $182.01. 

NVDA has been an attractive target for options premium buyers over the last 12 months. Specifically, the equity's Schaeffer's Volatility Scorecard (SVS) registers at 91 out of a possible 100, which points to the stock's strong proclivity to make bigger-than-expected moves in the past year, relative to what the options market had priced in. 

On the charts, NVDA boasts a 19% year-to-date gain. The shares are still down 38% in the past 12 months, though, and today's surge is running out of steam near $160 -- home to the stock's 160-day moving average and pre-bear gap levels from earlier this month.

 

 
 

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