Nvidia’s recent unveiling of its new generation of artificial intelligence chips, named Blackwell, has caused a stir in the tech world. While CEO Jensen Huang touted the chips as a significant advancement over the current Hopper graphics processing units, the reaction in the stock market has been mixed.
Mixed Analyst Reactions
Analysts at Bernstein were quick to praise the new chips, with one analyst even jokingly comparing Huang’s presentation to a Taylor Swift concert. However, not all analysts were as enthusiastic. Wells Fargo analysts, while maintaining an overweight rating on Nvidia shares, expressed some reservations about the Blackwell B200 launch, stating that they had expected more. Despite this, they remain positive about Nvidia’s technology and future opportunities for monetization.
Despite the dip in stock price following the announcement, analysts at Goldman Sachs remain bullish on Nvidia’s prospects. They raised their price target to $1,000 and expressed confidence that Blackwell would be a game-changer for the company. According to their industry conversations, they expect Blackwell to be the fastest ramping product in Nvidia’s history.
With the introduction of Blackwell AI chips, Nvidia solidifies its position as a key player in the generative AI space. The company’s innovation, customer relationships, and strategic partnerships have been highlighted as key strengths by analysts. The new chips are expected to open up new possibilities for AI applications and drive growth for Nvidia in the coming years.
Nvidia’s announcement of the Blackwell AI chips has generated both excitement and caution among analysts and investors. While some see it as a game-changer for the company, others are taking a more measured approach. Only time will tell how successful Blackwell will be in the market and whether it will live up to the high expectations set by Nvidia’s CEO.