Cantor Fitzgerald’s C.J. Muse reaffirms a bullish stance on Nvidia, citing its AI dominance and strategic $100B OpenAI investment
Nvidia Cements Its Role in AI Infrastructure
Nvidia (NVDA) continues to dominate headlines—and analyst coverage—as it deepens its foothold in the artificial intelligence (AI) ecosystem. Cantor Fitzgerald’s C.J. Muse, one of Wall Street’s top-rated tech analysts, has reaffirmed a Buy rating on the stock, along with a $240 price target.
His key assertion? Nvidia is now the “de facto AI infrastructure company,” uniquely positioned at the heart of a multi-trillion-dollar technology buildout.
The OpenAI Investment Answered Big Questions
Muse’s optimism follows Nvidia’s recently announced $100 billion investment in OpenAI, the creator of ChatGPT. The deal helped address two pressing questions:
- What will Nvidia do with its massive free cash flow from AI-driven data center growth?
- How will emerging data center players like OpenAI, Oracle, xAI, and Coreweave fund their massive infrastructure ambitions?
Muse believes this partnership validates Nvidia’s role as the central player powering AI development globally. He stated that the move signals Nvidia is now “quarterbacking” the buildout of a still-young AI industry.
Circularity Concerns? Muse Isn’t Worried
While some critics raise concerns about the circularity of vendor financing—where Nvidia supplies hardware and funding to its customers—Muse remains unfazed.
He argues that fears of an AI bubble are premature, asserting that the current wave of AI investments is “just getting started.”
In his words:
“Stay long and strong the AI-levered group.”
And Nvidia remains his top pick, with a clear path, he believes, to a future $10 trillion market cap.
Wall Street Backs the Bull Case
Muse isn’t alone in his optimism. Wall Street maintains a Strong Buy consensus rating for Nvidia stock:
- Average price target: $216.86
- Upside potential: About 15.6% from current levels
- Year-to-date gain: Approximately 40%
Investor sentiment continues to be driven by surging demand for Nvidia’s GPUs, which are widely considered essential infrastructure for AI model training and deployment.
What’s Next for NVDA?
With strategic investments, unparalleled product dominance, and favorable analyst sentiment, Nvidia looks well-positioned to maintain its leadership in the AI arms race.
Still, investors will be watching closely to see how its AI-driven cash flows evolve and whether the current valuation trajectory remains sustainable amid broader tech sector volatility.
