Piper Sandler analyst Harsh V. Kumar reiterated an Overweight rating on Nvidia Corp (NASDAQ:NVDA) with a $1,050 price target, his top large-cap pick.
During his recent AI Discovery Bus Tour, Kumar engaged directly with Nvidia’s management team, which allowed him to delve deeper into the company’s current operations and future prospects.
Despite being in the market for nearly two years, the demand for Nvidia’s Hopper GPU remains robust, with the supply needing to catch up, as per the analyst.
He said the supply-demand imbalance will likely continue throughout the year, potentially offering a slight margin boost until the introduction of the Blackwell GPU.
As per Kumar, the launch of the Blackwell GPU later this year will likely mirror the supply and demand challenges faced by Hopper.
Customers are reluctant to switch their orders from Hopper to Blackwell, fearing even longer wait times due to anticipated supply constraints.
Nvidia’s management addressed concerns about the power requirements for upcoming data centers, who assured that their accelerated computing solutions are significantly ...