Nvidia (NASDAQ: NVDA) is currently trading at around $155, but Loop Capital has set a new price target of $250 per share, indicating a potential upside of approximately 60%. If reached, Nvidia’s market valuation could exceed $6 trillion.
Loop Capital analyst John Donovan projects that non-CPU-based computing could grow from 15% of total computing capacity to between 50%-60% by 2028, presenting a $2 trillion market opportunity for Nvidia. The company currently dominates the data center GPU sector, holding over 90% market share.
However, Nvidia’s valuation remains high, trading at around 30 times forward earnings, akin to its big tech peers, despite higher growth potential. Donovan suggests Nvidia can sustain its current valuation unless there are significant changes in interest rates.
