Shares of Graphics Chip Giant Soar to New Yearly High After Bank of America Analyst Ups Ante with $320 Valuation

Table of Contents Shares of Nvidia (NVDA) climbed to $227.84 on Thursday, establishing a fresh 52-week peak, following Bank of America’s decision to elevate its price objective to $320 from the previous $300 target. The semiconductor giant had concluded the previous trading day at $220.78. NVIDIA Corporation, NVDA Vivek Arya, BofA’s analyst covering the stock, justified the increased target by pointing to an expanding long-term AI data center marketplace and quickening AI infrastructure investments. Arya holds the 81st position among over 12,000 analysts tracked by TipRanks and has delivered an average return exceeding 82% for investors on Nvidia positions during the previous 12 months. This upgrade occurred while Nvidia continued a six-session rally approaching its scheduled May 20 quarterly earnings announcement. Separately, Citi analysts indicated that Nvidia’s first-quarter revenue might exceed Street expectations by approximately $1.4 billion. The broader analyst community anticipates $78.62 billion in quarterly sales for the period concluding April 26, representing a 78% year-over-year surge. Earnings per share forecasts stand at $1.74, marking a 115% increase from the comparable period last year. The company’s previous quarterly disclosure, covering Q4 FY2026, delivered revenue of $68.13 billion, surpassing the $65.56 billion estimate. Earnings per share registered at $1.62 compared to the $1.54 consensus projection. Year-over-year revenue growth reached 73.2%. Jensen Huang traveled alongside President Trump during his Middle East and Asia diplomatic mission, with market participants monitoring developments regarding export authorization. According to Reuters, Nvidia has secured U.S. approval to distribute its H20 chips to approximately 10 Chinese corporations. Nevertheless, no shipments have occurred due to Beijing’s resistance toward domestic entities submitting purchase orders. Any advancement regarding these export restrictions could represent a significant catalyst before the earnings release. Nvidia’s market capitalization presently exceeds $5.5 trillion, despite recording no revenue from Chinese operations under existing export limitations. Looking beyond quarterly results, Bank of America identified multiple additional catalysts on the horizon. Arya anticipates a potential CPU product announcement at Computex Taipei, building on Nvidia’s March unveiling of the Vera CPU designed for autonomous AI applications. He also emphasized the projected commencement of Vera Rubin AI system deliveries during the latter half of 2026, plus the likelihood of enhanced capital returns to shareholders later in the year. Both Wells Fargo and Susquehanna have similarly increased their Nvidia price objectives in anticipation of the upcoming earnings report. Throughout Wall Street, sentiment remains overwhelmingly positive. Among 54 analysts monitored by MarketBeat, 48 assign Nvidia a Buy or Strong Buy rating, with two maintaining Hold positions and zero recommending Sell. The collective average price target among this group reaches $277.32. The stock’s 50-day moving average currently sits at $190.40, while the 200-day moving average stands at $187.78. The price-to-earnings ratio measures 46.09, and the beta coefficient registers at 2.25. Institutional investors control 65.27% of outstanding shares. One cautionary signal: company insiders have divested a combined 906,336 shares valued at approximately $162.8 million during the past 90-day period. Trading volume on Thursday exceeded 149 million shares by mid-session, substantially above typical daily activity. Options market activity also showed heightened levels, with call option volume running notably high, indicating traders are establishing positions for additional gains before the May 20 earnings announcement.