01 Aug, 2017 Nvidia Price Target Raised As Morgan Stanley Plays Catch-Up
After watching shares of graphics-chip maker Nvidia (NVDA) go on a run over the last 11 weeks, Morgan Stanley decided to play catch-up with its stock price target on Friday, but maintained its equal-weight, or hold, rating.
Nvidia broke out of a 13-week consolidation period with a buy point of 121.02 on May 10 after it posted fiscal first-quarter sales and earnings that crushed Wall Street’s expectations.
Morgan Stanley analyst Joseph Moore on Friday kept his cautious stance on Nvidia but raised his price target to 168 from 125 ahead of the company’s fiscal second-quarter report due Aug. 10.
“With improvement in the PC gaming market, and continued confidence in machine learning, we expect upside to the quarter and outlook; though we see that as largely priced in with a 60%-plus move in 11 weeks,” Moore said in a report. “We like the company’s position but would look for a better entry point.”
Santa Clara, Calif.-based Nvidia is best known for its graphics processors for personal computers and video game consoles. But it has a growing business in providing high-performance processors for data centers, artificial intelligence, machine learning and self-driving cars.