Nvidia shares rise to an intraday record high as Wall Street remains bullish ahead of earnings results

Nvidia (NVDA) shares rose to a new intraday high on Monday, as Wall Street analysts maintain their bullish positions on the stock ahead of its November earnings report.

Shares of the leading AI chip maker rose 3% to over $142, surpassing Nvidia's previous intraday high of $140.89 last week.

The move comes as Wall Street analysts reiterate their Buy rating on the stock. Citing strong demand for AI, Bank of America (BAC) on Friday raised its price target on the stock from $165 to $190, while investment research firm CFRA last week raised its price target on Nvidia from $139 to $160. Overall, analysts expect shares to rise to 148.37 over the next 12 months, according to Bloomberg consensus estimates.

In addition to the growth of the AI ​​market overall, Bank of America analyst Vivek Arya said Nvidia's strength in enterprise AI – its partnerships with companies like Microsoft and Accenture – was another factor contributing to its higher price target. Arya said, “NVDA is the partner of choice” for enterprise AI hardware and software.

Wedbush analyst and Nvidia bull Dan Ives echoed that sentiment in a note to investors on Sunday, writing that there is “a tidal wave of corporate spending as AI use cases explode,” with Nvidia leading the market.

Ives predicts that the AI ​​infrastructure market will expand tenfold by 2027, with companies spending $1 trillion on AI investments during that period.

“In short, we believe the stage is set for tech stocks to rise another 20% in 2025 as this tech bull market just enters its next phase, led by the AI ​​revolution,” Ives added. “With the Fed and Powell embarking on their aggressive rate-cutting cycle, we believe a macroeconomic soft landing remains the way forward, and technology spending on AI remains a generational spending cycle that is just beginning to reach the shores of the tech sector.”

Despite a short-lived dip last week and emerging fears of a slowdown in AI spending, Nvidia shares are up nearly 3% last week and more than 20% last month.

Nvidia CEO Jensen Huang said there is “insane” demand for its AI chips, which are used in data centers at Big Tech companies to power generative artificial intelligence software. Recent positive news from the company's industrial partners has also boosted AI stocks across the board, including Nvidia. Micron (MU), which supplies memory chips for Nvidia's GPUs, and TSMC (TSM), which makes Nvidia's AI chips, both beat Wall Street expectations in their recent earnings reports.

The AI ​​chip market is expected to grow 99% in 2024 and another 74% in 2025, according to consulting firm International Business Strategies, which tracks industry data.

The story continues

Still, there's a chance that even the slightest slowdown in Nvidia's growth could send the stock lower, as investors proved difficult to please during Big Tech's latest wave of quarterly earnings reports.

Wall Street analysts tracked by Bloomberg expect Nvidia to report third-quarter earnings per share of $0.74, up 84% from a year earlier. They expect sales to rise 83% to $33.1 billion.

About 67 analysts rate Nvidia stock “Outperform,” while 7 maintain a “Hold” rating and only one recommends selling the shares.

Laura Bratton is a reporter for Yahoo Finance. Follow her on X @LauraBratton5.

Click here for the latest stock market news and in-depth analysis, including stock-moving events

Read the latest financial and business news from Yahoo Finance