Goldman Sachs: "NVIDIA Stock Price to Reach $800" ... Hits Intraday Record High

"Stock Price Has 21% Additional Upside Potential"
Earnings Announcement on the 21st

Global investment bank Goldman Sachs has raised its target price for Nvidia to $800. Following this news, Nvidia's stock price surged early in trading on the New York Stock Exchange on the 5th (local time), hitting an all-time high.

According to major foreign media on the day, Goldman Sachs raised Nvidia's 12-month target price from the previous $625 to $800. This implies an additional upside potential of 21% from the current price level.

Goldman Sachs expects strong demand for AI servers and data center graphics processing units (GPUs) to continue driving Nvidia's stock price higher. It also raised Nvidia's earnings forecasts for 2025-2026 by an average of 22%. In particular, it noted that companies like Microsoft (MS) and Meta, the parent company of Facebook, have begun showing signs of monetization in their AI businesses.

While Nvidia is generating significant profits from the AI boom, the sluggish stock performance of other semiconductor companies such as Intel, which lag behind in AI semiconductor manufacturing, is also seen as a factor enhancing Nvidia's investment appeal.

Goldman Sachs analyst Toshiya Hari said, "Considering Nvidia's strong hardware and software offerings and its continuous pace of innovation, the company is expected to maintain its industry standard status in the near future."

Nvidia's stock price surged 239% last year and has already risen 34% this year (as of the closing price on the 2nd). Its 12-month forward price-to-earnings ratio (PER) stands at 31.4 times, significantly higher than the industry average of 22.9 times. Although the stock price has already risen substantially, Goldman Sachs believes there is still considerable upside potential.

On the day, Nvidia's stock price jumped 5% early in trading on the New York Stock Exchange, pushing its market capitalization to $1.7 trillion. As of 11:08 a.m. Eastern Time, it was trading up 3.13%.

Nvidia is scheduled to release its fourth-quarter earnings for the last quarter of the previous year, ending in January, on the 21st.