Analysts Cut Nvidia Targets as Post-Huang Uncertainty Deepens
NVDA is trading near its 52-week low of $148.8 (10% above the low) on elevated volume (3.9× avg).
Summary
Wall Street is turning more cautious on Nvidia after Jensen Huang's resignation, with several analysts downgrading the stock and even more cutting price targets on Thursday. Goldman's James Schneider kept a Buy but trimmed his target to $220 from $300, warning the company may struggle to operate as nimbly without its central visionary leader and could find it harder to negotiate new multi-party ecosystem investments at the same scale. Melius downgraded to Hold and cut its target to $185 from $315, flagging that enterprises and sovereign buyers may flinch and neoclouds may go more capex-light. Bernstein's Stacy Rasgon downgraded to Market Perform and slashed his target to $200 from $400, arguing it's too early to buy the dip with more headlines on internal issues and government investigations likely. The stock fell 4.7% Thursday and is down 22% this month, now trading at less than 12 times forward earnings — cheap, but the market isn't stepping in. CFO Colette Kress is interim CEO; the Nov. 17 event is the next scheduled chance for the company to address the succession plan.
At the time of this announcement, NVDA was trading at $164.06 on NASDAQ in the Technology sector, with a market capitalization of approximately $4T. The 52-week trading range was $148.80 to $243.37. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Dow Jones Newswires.