Nvidia stock (NASDAQ: NVDA) is in reversal mode in June after shedding nearly 5% in the last five trading sessions. The GPU maker could fall below the $200 zone again and trade in the $190 to $180 range. Every dip from here can be considered the best buying opportunity, according to Bank of America Securities. The more NVDA falls, the better the accumulation chance for traders, as the equity is projected to surge close to 70% next.
Nvidia Stock Price Prediction: Bank of America Securities’ New Target For NVDA
Bank of America Securities’ senior analyst Vivek Arya maintained his buy rating on Nvidia stock. He wrote in a note to clients that buying the dip on NVDA could deliver bigger returns to traders. NVDA opened Monday’s trading bell at $205, and the GPU maker remains in muddy waters this month, despite delivering robust revenues and being at the top of the AI tech chain. He wrote that the fall is temporary and Nvidia stock has a brighter upside trajectory.
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Here’s the New Price Target
Analyst Vivek Arya predicted that Nvidia stock is on the path to reach a new high of $350. He wrote in his note to clients that NVDA’s potential upside swing could see profits of 70%. That’s phenomenal returns, and an investment of $1,000 could turn into $1,700 if the price prediction from Bank of America Securities turns out to be accurate.
Why Will It Reach $350?
The analyst reasoned that the $350 price target for Nvidia stock is based on the market miscalculating the depth of the AI industry. He argued that while AI is just in its ‘chat bubble’ phase where users ask questions and it delivers, the future of the technology will be morphed into a permanent corporate set-up. The present corporate set-up, as we know, could soon become history when AI becomes more mainstream.
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