TSP Weekly Tech Stock Update—April 13, 2024
This Week: GOOGL new record high, NVDA dips as targets rise, ADBE shares under pressure, Jefferies likes NOW, 2 new GitLab bulls, a Monday upgrade, CRWD/ZS updates, KeyBanc upbeat on Snowflake & more.
Hello from Rob…
—At this week’s low of $830.22, NVIDIA (NVDA, $881.86) shares had retreated nearly 15% from the record high of $974 reached in early March. While the stock has rebounded a bit from that low, it’s still off 9.5% from the high. Meanwhile, Wall Street price targets on NVIDIA continue to get ratcheted up, with several additional firms now at or above the $1,000 level.
This week, Morgan Stanley took its target up to $1,000 from $795, saying the stock remains the best way to gain AI exposure. The firm called out planned datacenter expansions at hyperscalers over the next three to fours years, indicating durability of growth. KeyBanc lifted its target to $1,200 from $1,100 based on positive implications from its recent supply chain checks.
UBS recently raised its target to $1,000 from $800, saying it sees another solid year of growth in calendar 2025, with revenue approaching $150 billion. Following the Blackwell launch, UBS believes NVIDIA is eyeing a new wave of demand from global enterprises and sovereigns.
Raymond James lifted its NVIDIA target to $1,100 from $850, noting it has incremental conviction about overall generative AI demand, inferencing growth and Blackwell GPU ramps.
*Inside This Issue: Resetting Expectations For 2024 AI Revenue In Software
—Paid subscribers will receive the May 2024 PDF of Tech-Stock Prospector (TSP #267) via email on Tuesday, May 7.
—Paid subscribers have access to the TSP Market Overview and TSP Portfolio Updates sections inside this issue.