Shares of Nvidia (NVDA) moved lower this week as investors weigh ongoing tariff uncertainties against strong artificial intelligence (AI) demand. While President Donald Trump’s April 2 “reciprocal” tariffs may not immediately target semiconductors from Taiwan, where Nvidia’s advanced chips are manufactured, his comments that chip levies would follow “down the road” continue to create market tension.
The tariff concerns come as Loop Capital reports that Apple (AAPL) is placing approximately $1 billion in orders for Nvidia’s GB300 NVL72 systems. This represents 250 servers priced between $3.7 million and $4 million each. The recent order signals a healthy demand for Nvidia’s newest AI hardware despite the potential trade headwinds. Other semiconductor stocks, like Advanced Micro Devices (AMD) and Broadcom (AVGO), also traded lower this week as investors remain uncertain about the tariff war.
Valued at a market cap of nearly $2.8 trillion, Nvidia has returned massive wealth for long-term shareholders. The tech stock has surged more than 21,000% in the past decade after adjusting for dividend reinvestments.
Despite these outsized gains, the chip maker is down almost 27% from all-time highs, allowing you to buy the dip. So, let’s see if you should own NVDA stock at the current multiple.
Is Nvidia Stock a Good Buy Right Now?
Nvidia CEO Jensen Huang has outlined an expansive vision for the company’s future. Huang emphasized that Nvidia will focus on key growth verticals such as cloud data centers, enterprise IT, and robotics systems.
During the recent Nvidia GTC event, Huang stressed that the computing paradigm has fundamentally shifted from general-purpose computing to GPU-accelerated computing, with AI driving unprecedented demand for computational power. This computational demand is fueling NVIDIA's growth trajectory, with Blackwell GPU orders reaching 3.6 million units from the top four cloud service providers in early 2025.
Nvidia’s roadmap features annual product releases with performance improvements. The Blackwell chip is now in full production, while the Blackwell Ultra will be launched in the second half of 2025. Looking ahead, Vera Rubin (2026) and Rubin Ultra (2027) will deliver even more dramatic leaps in performance.
Nvidia also tackles power efficiency challenges through innovations like the NVIDIA Dynamo operating system for AI factories and MicroRing Resonator Modulator technology for silicon photonics. These advances could save “tens of megawatts” in large-scale deployments, effectively converting power savings into additional computing capacity.
For enterprise customers, NVIDIA unveiled DGX Station and DGX Spark systems manufactured by major OEMs, including HP (HPQ), Dell (DELL), and Lenovo. The company has secured key partnerships across industries. This includes a new alliance with General Motors (GM) for autonomous vehicle development and collaborations with T-Mobile (TMUS), Cisco (CSCO), and Cerberus for AI-enabled radio networks.
In robotics, Nvidia introduced Isaac Groot N1, a foundation model for humanoid robots, alongside Newton, a physics engine developed with DeepMind and Disney Research that enables sophisticated simulation for robot training.
What Is the Target Price for Nvidia Stock?
Huang claimed that AI factories and other specialized facilities represent a massive growth opportunity beyond the traditional $1 trillion data center market. With the computation requirements for AI skyrocketing due to agentic and reasoning capabilities, Nvidia is positioning itself at the center of what Huang describes as a fundamental technological shift.
Nvidia’s growth story is far from over. Analysts expect the company’s sales to touch $310.19 billion in fiscal year 2030 (ending in January), up from $130.5 billion in fiscal year 2025. Comparatively, adjusted earnings per share are forecast to expand from $2.99 per share in 2025 to $7 per share in 2030.
Out of the 44 analysts covering Nvidia stock, 38 recommend “Strong Buy,” two recommend “Moderate Buy,” and four recommend “Hold.” The average target price for NVDA stock is $177.19, indicating upside potential of over 50% from current levels.
