Nvidia is expected to have a breakout quarter, according to UBS analysts who are brushing off recent market doubts as “overblown”. The company’s shift to its Blackwell chipset has accelerated rapidly, with UBS projecting $9 billion in sales for January, nearly double earlier estimates.
The analysts believe that supply chain worries won’t hold back Nvidia’s growth. Instead, they point to the company’s clever revenue recognition strategy and improvements in hardware bottlenecks like connector cartridges. Blackwell rack shipments are already rolling out, led by Hon Hai, with Quanta expected to ramp up soon.
UBS remains confident in its $185 price target for Nvidia, which reflects their conviction in the company’s growth narrative. The firm sees the launch of Blackwell systems as a “paradigm shift”, with production scaling and market momentum building.
Investors are being urged to buckle up for what promises to be a ride. With hyperscaler demand showing no signs of slowing, Nvidia is rapidly solidifying its dominance in AI and data centers. The company’s ability to deliver under pressure is being reinforced by the latest developments.
Source: https://finance.yahoo.com/news/nvidias-9-billion-power-move-164328603.html