Piper Sandler Reiterates Nvidia’s $150 PT

Piper Sandler analyst Harsh V. Kumar reiterated on April 16, 2025 its ‘Overweight’ rating on Nvidia, with a $150 price target.

“Debating the Darling of the Al Trade: NVIDIA Bull vs Bear

With this report we outline the Bull vs. Bear thesis around NVDA. Following our analysis, our stance remains that NVDA continues to be best positioned amongst Al compute names as well as within the broader semiconductor sector.

Nvidia is still the Most Reliable and Trusted Game in Town

Following GTC 2025, we think it was again clear that NVDA remains the market leader in accelerated computing and Al.

We see investors continuing to raise questions regarding the market positioning and product offerings of NVDA’s competition.

The Big Get Bigger, Extending Their Lead in Data Center GPUs

NVDA’s cadence remains 9 months ahead of AMD on a chip level. We note NVDA’s market leadership is set to expand with Blackwell Ultra coming on this year and then Rubin immediately following with its ramp in 2026.

This roadmap clarity which has been laid out over the next 2 years should only help NVDA’s credibility with customers looking to plan out longer- term compute deployments.

No company in the chip space has done this thus far.

Agentic Al Requires More Compute

On our Al Discovery Bus Tour last week, a number of software firms mentioned that the next growth vector for Al looks to be coming from the deployment of Al agents.

These agents will be tools beyond the simple chatbot that allows companies to provide more advanced Al solutions to its customers. With this, however, comes more demand for GPUs for both training and inference as more tailored models are created and brought to the market.

Finally, opportunities around inference in particular have the potential to be greater given the lower cost and greater availability of these resources.

Visibility Questions All About 2026

There is likely no debate that investor sentiment sees clear growth through the rest of this year given the feedback around the Blackwell performance and ensuing ramp.

However, questions continue around the next year’s growth story and investors are looking to 2028 visibility.

In addition, skeptics have looked to the law of large numbers to point to growth potentially slowing down as revenues get larger.

Near-term, questions around NVDA’s earnings beat and raise cadence of $2 billion in revenues continue to circle.

Software Firms Are Not Struggling for GPU Capacity

We had the opportunity to meet with a number of software companies last week on our Al Discovery Bus Tour.

Throughout our meetings, managements mentioned that GPU capacity is readily available at this time and no firm was struggling to gain access to GPUs.

Near-term, this reinforces the argument that investments in GPU capacity may be peaking.

RISKS TO ACHIEVEMENT OF PT & RECOMMENDATION

• Industry Cyclicality
• Inventory Management
• Consumer Exposure, and
• Integration Risk”

This research note is reproduced verbatim from the issuing firm. Price Target never edits, paraphrases or alters analysts’ words — we only republish them in one place.