Bernstein Increases Nvidia’s Price Target to $225

Bernstein analyst Stacy Rasgon raised on August 28, 2025, the price target on Nvidia to $225 (from $185) while maintaining an ‘Outperform’ rating.

“NVIDIA’s FQ2 results beat ($46,743M/$1.05 vs Street at $46,231M/$1.01).

Gaming ($4.3B) was well above expectations.

Datacenter ($41.1B) was inline to a hair below though we note it included no China H20 contribution; compute fell a touch QoQ on H20 declines but Blackwell ramped significantly (up ~17% QoQ) and networking was very strong (+46% QoQ) on rack shipments.

Gross margins at 73.% were above, and included ~40 bps of benefit from release of H20 parts sold to non-China customers (gross margins and EPS would have still beat without it).

Overall the results were good, though with the guide perhaps just a hair light of the latest whispers, and while bears might point to computing revenues falling sequentially in the quarter and an “only” inline(ish) datacenter guide this was really just around continued messy China dynamics.

But we believe guidance was still very respectable even as it continues to leave China as upside rather than count on it, and appears to indicate a sharp acceleration in the Blackwell ramp into next quarter suggesting core fundamentals remain robust.

And the general outlook and environment overall still seem encouraging, with compute requirements moving ever upward, and Jensen suggesting potential for trillions of dollars of AI infrastructure spending by the end of the decade.”

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