Nvidia Stock Rebounds as Analysts Remain Bullish as Headwinds Rise

Nvidia stock recovered toward $220 on Sept. 18 after falling as low as $208.93 earlier in the week, as Wall Street analysts maintained bullish ratings despite renewed concerns about AI safety, infrastructure spending and competition. NVDA closed Sept. 17 at $219.34, up 2.54%, and traded near $219-$220 Friday as investors reassessed the selloff that followed calls from AI leaders to slow development.

The rebound matters because Nvidia remains at the center of the global AI infrastructure buildout, with fiscal Q2 revenue doubling to $96.2 billion and Data Center sales rising 117% to $89 billion. Analysts still expect roughly $411.5 billion in fiscal 2027 revenue, while recent price targets stretch from $300 at Piper Sandler and Needham to $515 at Raymond James.

Analysts Stay Bullish on Nvidia Stock

Top Wall Street analysts are highly bullish on NVDA stock price. In a recent note, James Schneider, a top analyst at Goldman Sachs, reiterated his bullish outlook for the company.

Piper Sandler initiated its rating from neutral to overweight, with its target being $300, which is about 37% from the current level. Needham has a buy rating with a target of $300, while Rosenblatt Securities sees the stock rising to $390.

The other top analysts who are bullish on the shares are from Deutsche Bank, China Renaissance, Philip Securities, and Evercore. The most bullish analyst is Simon Leopold, at Raymond James Financial, who has a target of $515

These analysts have maintained their bullish outlook despite the rising headwinds. The most notable one is the ongoing AI safety fears, which have escalated this year. Executives and policymakers have sounded concerns about the industry. This includes top CEOs of companies like SpaceX, Anthropic, and OpenAI.

These executives are warning that the industry needs to slow down to prevent major damages. If this happens, then chances are that Nvidia would be affected since it has tentacles across various industries in AI. It has stakes in chipmakers like Intel, neocloud companies like Nebius and CoreWeave, and optical companies like Coherent and Lumentum.

Meanwhile, there are signs that communities are resisting data centers. A study released this week showed that many Americans are concerned about the industry. As a result, many data centers have been cancelled this year.

Competition is Coming From All Areas

Nvidia stock price is also rising, even as competition in the industry is rising. This competition is coming from all corners, including traditional companies, clients, and startups.

Traditional chipmakers like AMD and Intel are growing their market share in the GPU industry. Recently, Google announced that it will use some of Intel’s GPUs in its data centers.

Some startup companies challenging Nvidia have raised substantial sums of money from firms and venture capitalists. For example, Samsung led an investment round for Euclyd, a Dutch semiconductor company. SambaNova raised $350 million in February, giving it a $11 billion valuation, making it one of the biggest companies in the industry. Etched, another startup, raised $300 million and is valued at over $10.3 billion.

Nvidia is also seeing high competition from companies like Microsoft, Amazon, and Google, which are also its big clients.

Top analysts are highly bullish on the company despite its ongoing challenges. The average estimate is that its revenue will come in at $411 billion this year. Historically, Nvidia tends to beat estimates, suggesting its actual figure will exceed $425 billion.

Nvidia Stock Price Technical Analysis

The daily chart reveals that the NVDA stock has risen in the past few days even as concerns about the AI industry has remained. It has risen above the 50-day Exponential Moving Average (EMA).

The stock has jumped above the lower side of the rising wedge pattern. A wedge is one of the most bearish signs in technical analysis. The two lines of the Percentage Price Oscillator (PPO) have formed a bearish reversal sign.

Therefore, the stock will likely remain under pressure in the near term before the eventual rebound to a record high. The key support and resistance levels to watch will be $210 and $230.

This article is for informational purposes only and does not constitute financial or investment advice. Analyst targets, technical indicators and revenue forecasts do not guarantee future stock performance.