NVIDIA (Nasdaq: NVDA)) had a disappointing beginning until 2025, like the IA The chip giant is struggling with a mixture of unfavorable macro developments and specific challenges, including the rise of Deepseek and concerns about maintaining its rapid growth in recent years.
This makes the GTC conference next week the opportunity to turn the tide and resume momentum. But will he deliver? Atif Malik de Citi, an analyst classified in 1% of experts in street actions, has doubts.
“Specific in shares, the risk / reward seems attractive with stock market trading below the 19x historical P / E and now deriving an exposure to 28% sales to China and Singapore on the AI dissemination rules according to our mathematics. That said, we believe that investors are looking for an EA -restriction event and raw margins prices, which we do not think that Nvidia is able to comment today, “said 5 -star analyst.
As for what is on the GTC tap, Malik keeps an eye on several articles. He expects Nvidia officially to unveil his Blackwell ‘Ultra’ chip (B300), as well as the GB300. While the B300 will probably be held to a 4NP process, Malik plans a much larger performance jump compared to the B200 – more substantial than the transition from H100 to H200. Since the GB200 arrived before the calendar in Q1, it sees the ultra chip accumulates as “more than one story 3q against 4q”.
In addition to the ultra chip, investors will be impatient to find out more about the new generation rubin chip. At Computex 2024, the company revealed that the first version of Rubin will arrive in 2026, with 8 stacks of HBM4 memory. The GPU will probably be introduced alongside the Vera CPU, NVLink 6 (3,600 GB / s), Connect-X 9 cards (1600 GB / s) and X1600 Infiniband and Ethernet. “Although no other detail on the chip or its architecture has been provided, we believe that, given the recent management comments, Vera-Rubin will be a very stage of Grace-Blackwell, in particular on the front of inference,” noted Malik.
The analyst expects Nvidia to also discuss his roadmap beyond Rubin, including the Rubin ‘Ultra’ chip, which could introduce a 12-battery HBM architecture. Malik also expects the company to continue on its scale approach and announces the NVL288 (a single rack system) alongside the Rubin chip.
The latest major subject to seek co-Emballée Optics (CPO) concerns. There is an in progress debate on the place where it is deployed first – whether in the IB / Ethernet, NVLink, NVSWitch or Connectx switches. However, his announcement is “widely considered a fact”. Although some CPO deployments can occur with Blackwell Ultra, Malik thinks that large -scale adoption is more likely with the Rubin chip in 2026.
With all this in mind, Malik remains optimistic about Nvidia, awarding the title a purchase note with a price target of $ 163, which implies an increase of 41% compared to the current levels. (To look at the history of Malik, Click here))
The general view of the street is even more optimistic; The average price target amounts to $ 177.41, suggesting that investors will pocket yields of 53% per year. In terms of rating, based on a mixture of 39 purchases and only 3 sockets, the consensus rates of NVDA analysts store a strong purchase. (See NVDA actions forecast))
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