NVIDIA Corporation Analysis Amidst AI Growth Hype

NVIDIA Corporation (NASDAQ:NVDA) ranks fourth on the list of AI stocks being closely watched by analysts. The company specializes in AI-driven solutions, offering platforms for data centers, self-driving cars, robotics, and cloud services.

A recent report from the IMF suggests that economic gains from artificial intelligence are likely to outweigh the costs of rising carbon emissions from data centers. This is due to the expected 0.5% annual boost to global output between 2025 and 2030. However, if energy policies remain unchanged, greenhouse gas emissions will increase by 1.2%.

Despite these concerns, AI experts argue that a switch to greener energy policies could limit the increase to 1.3 Gt. The social cost of these extra emissions is estimated to be around $50.7-$66.3 billion, which is smaller than the income gains from AI.

NVIDIA’s stock performance has been mixed, with some analysts reiterating their “Hold” rating and lowering price targets. The hedge fund data shows that 223 investors hold NVDA, indicating significant interest in the company. However, Insider Monkey’s analysis suggests that while NVIDIA holds promise as an investment, other AI stocks may offer higher returns.

As of Q4 2024, some popular AI stocks have underperformed since January 2025, with losses around 25%. For investors seeking a promising AI stock trading at less than 5 times its earnings, Insider Monkey recommends exploring alternative options.

Source: https://finance.yahoo.com/news/nvidia-corporation-nvda-price-target-111451616.html