Nvidia is set up well to deliver strong fiscal first quarter results this week, paving the way for even more gains, according to Morgan Stanley. The investment bank has an overweight rating on the semiconductor name. It also hiked its price target on shares to $285 from $260, implying 26% from Friday’s close. “It has taken time for investor enthusiasm to return to the story as secondary and tertiary AI beneficiaries continue to outperform,” analyst Joseph Moore said in a note. “But we think the quarter will be a positive step towards a stock rerating … the typical beat and raise pattern (beat by $3bn, guide $4bn above) is a likely outcome.” NVDA YTD mountain NVDA in 2026 Morgan Stanley raised its estimates for Nvidia for the three-month period ended April 30, largely due to skyrocketing demand for its hardware amid an artificial intelligence-fueled data center boom. The bank expects the semiconductor firm to clock earnings of $1.72 per share on revenue of $79.264, up from its previous estimates of $78.25 billion in revenue and $1.69 earnings per share. The company is slated to report its earnings on Wednesday after the bell. Moore added that he is bullish on Nvidia because of its “frontfootedness to secure supply,” which puts the company in “an advantaged position vs [its] peer group.” He also noted that Nvidia has $95 billion in purchase commitments, adding that the AI hardware firm can cover much of what it intends to ship over the next 18 months. Morgan Stanley’s call falls in line with consensus on Wall Street. Of the 61 analysts covering Nvidia, 57 have a buy or strong buy on the stock, LSEG data shows. Shares have risen 66% over the past 12 months, outperforming the overall market as AI has continued to dominate as an investment theme.
