Nvidia’s Bullish Run: What Investors Are Watching
As anyone following the markets is aware, Nvidia has been on an impressive bull run over the past few years.
- Nvidia’s stock has surged by nearly 700% since the emergence of ChatGPT just over two years ago.
- The company has become the dominant force in the data center segment, significantly boosting its share prices during this period.
Nvidia’s leadership in AI chip production remains strong, and the company has regained much of its momentum following the DeepSeek revelations last month.
- Both analysts and CEO Jensen Huang have reassured the market that Nvidia’s chips will continue to play a crucial role in AI development.
- This optimism has positioned Nvidia as a leader in the rapidly growing AI sector.
Investors and market watchers will be closely examining Nvidia’s Q4 FY 2025 results and Huang’s assessments for further evidence that the company is on track for continued growth.
- Expectations are high for bullish growth, with many looking for confirmation that the company’s upward trajectory will continue.
Top investor Dair Sansyzbayev is particularly bullish on Nvidia, believing the company will exceed expectations once again when it reports its earnings.
- Sansyzbayev anticipates another strong quarter.
- He sees this as a positive catalyst that could drive the stock price higher.
One of Sansyzbayev’s key reasons for his optimistic outlook is industry trends.
- He points out that TSM, a key production partner of Nvidia, saw a 36% year-over-year revenue increase in January, signaling strong demand.
- The global AI chip market is also on the rise, with Deloitte forecasting that the semiconductor industry will hit record sales levels in 2025.
- The demand for cloud and AI market share is driving massive investment, with companies like Amazon, Microsoft, Meta, and Google planning to spend $320 billion on AI investments this year alone.
Sansyzbayev adds that such aggressive data center spending will likely lead to increased demand for Nvidia’s GPUs in 2025.
- The company is well-positioned to benefit from this surge in demand, especially as the hyperscalers expand their cloud infrastructure.
Another factor working in Nvidia’s favor is its history of positive earnings surprises.
- The company has beaten earnings expectations for eight consecutive quarters, which strengthens confidence in its ability to deliver strong results again.
- This track record contributes to the anticipation of strong revenue and EPS growth in the upcoming earnings call.
Given these factors, Sansyzbayev is maintaining a Strong Buy rating on Nvidia, reflecting his confidence in its future growth.
- He expects strong growth for both revenue and earnings per share (EPS), which should support the company’s bullish outlook moving forward.
