April 18 - Wall Street analysts are dialing back their near-term expectations for Nvidia (NVDA, Financial), citing export restrictions and softening revenue prospects.
Wolfe Research this week lowered its price target on Nvidia to $150 from $180, while maintaining an "Outperform" rating. The firm pointed to fresh U.S. licensing requirements for AI chip exports to China, including for Nvidia's H20 models, which could impact quarterly earnings by as much as $5.5 billion, according to a recent client note.
Morgan Stanley (MS, Financial) also trimmed its forecasts, warning Nvidia's data center revenue could decline by 8% to 9% in the coming quarters. While the firm kept Nvidia as a “top pick,” analysts acknowledged a more cautious stance compared to their prior bullish view.
Not all sentiment has turned. Bank of America (BAC, Financial) reaffirmed its "Buy" rating and $200 price target, calling Nvidia “the core infrastructure play” in AI. The firm highlighted strong global demand, a robust chip backlog, and the company's software ecosystem as key strengths.
