Nvidia Crypto Fuelled Weakness Would Be Short-Lived, Says Analyst
2022.04.13 23:05
By Sam Boughedda
Investing.com — Nvidia Corporation (NASDAQ:NVDA) shares rose 3.85% on Wednesday after New Street Research upgraded to buy from neutral.
Analyst Pierre Ferragu also set a $270 price target on the stock, telling investors that he sees an attractive valuation, strong data center outlook, and greater visibility on “crypto-winter risk.”
“A weakness driven by crypto would be limited, short-lived, and only an opportunity to add to positions,” Ferragu said in his client note.
The analyst also pointed to the secular outlook for gaming, visualization, and data centers as “still very strong.”
Ferragu no longer sees crypto as a reason not to own the stock and that the secular outlook in the areas mentioned above “limits downside risks beyond a crypto correction.”
Nvidia stock is on course to halt its recent losing streak. In 2022, the stock has declined by 24%.
