Nvidia (NVDA) Climbs on Q3 Earnings Beat: BofA Hikes Forecast

Nvidia’s latest earnings report beat Wall Street forecasts, sending NVDA stock higher entering Thursday’s trading session. The company’s strong revenue outlook and robust sales figures have renewed investor confidence in AI technology and market performance. Nvidia reported strong Q3 earnings with $57.01 billion in revenue, exceeding expectations.

The company also projected $65 billion in sales for the upcoming quarter, driven by the surging AI demand. However, this forecast is below Wall Street’s expected revenue of $62 billion. “Blackwell sales are off the charts, and cloud GPUs are sold out,” CEO Jensen Huang said in a statement after Wednesday’s earnings. “We’ve entered the virtuous cycle of AI. The AI ecosystem is scaling fast — with more new foundation model makers, more AI startups, across more industries, and in more countries. AI is going everywhere, doing everything, all at once,” he added.

Analysts on Wall Street are henceforth upgrading their forecasts for Nvidia (NVDA) stock, projecting a rebound. Bank of America reiterated its buy rating on NVDA. BofA Securities is putting Nvidia front and center in the chip sector’s current boom, thanks to surging demand for artificial intelligence processing power. The broker says Nvidia’s Blackwell chips are flying off the shelves, estimating the lineup could generate over $500 billion in demand between 2025 and 2026.

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Other Wall Street forecasts for NVDA are also higher than the pre-earnings estimates. Bernstein leads with a high price target of $275, indicating a strong historical accuracy with a 94.3% price target score. HSBC’s $320 target is the most optimistic, though Bernstein is noted for its high past accuracy. At press time, NVDA is trading near the top of its 52-week range and above its 200-day simple moving average.