Nvidia Corp (NASDAQ:NVDA) attracted renewed attention from Wall Street after fresh insights from a recent investor meeting highlighted its continued lead in artificial intelligence computing and strong multi-year demand visibility.
BofA Securities analyst Vivek Arya maintained a Buy rating on Nvidia with a price forecast of $275.
Arya reaffirmed Nvidia as his top pick after hosting a virtual investor meeting with Nvidia's investor relations lead, Toshiya Hari.
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Nvidia's AI Lead Is A Generation Ahead
The analyst argued that Nvidia still commands a full-generation lead in AI computing and continues to show exceptional visibility into long-term demand.
He said Nvidia's Graphics Processing Units remain ahead of all competitors because today's GPU-trained Large Language Models still rely on the older Hopper architecture.
The upcoming Blackwell-trained LLMs—expected in early 2026—should deliver a 10x to 15x performance jump, establishing a clear generational advantage, as per Arya.
The analyst noted that external benchmarks like MLPerf and InferenceMAX already show Blackwell leading in training and inference efficiency, tokens per watt, and revenue per token.
He added that Nvidia's next-generation Vera Rubin platform remains on schedule for the second half of 2026, with the pre-fill inference CPX version slated for the fourth quarter of 2026.
Arya emphasized that Alphabet Inc.'s (NASDAQ:GOOGL) Google continues to grow as a major Nvidia customer, and every major model builder still depends on Nvidia's platform.
Multi-Year Demand Visibility Backed by $500B Outlook
The analyst said Nvidia has strong demand and supply visibility supporting at least $500 billion in cumulative sales across calendar 2025–26 for Blackwell, Rubin, and networking products.
He called recent partnerships with OpenAI and Anthropic incremental to that outlook, noting that both involve letters of intent and could represent additional upside.
Nvidia's footprint in data-center infrastructure—about $30 billion per gigawatt for Blackwell systems and even higher for Rubin—reinforces that confidence, Arya told.
The analyst pointed out that Nvidia's five-year-old Ampere GPUs remain nearly fully utilized at customer sites, validating a useful life of five to six years.
He described Nvidia's competitive strength as unmatched because the company co-designs systems with customers and delivers a complete platform spanning CPUs, GPUs, scale-up, scale-out, scale-across, and CUDA software – capabilities the analyst said no rival can replicate.
China Uncertainty Persists, But Margins Stay Intact
Arya said it is too early to quantify the impact of potential H200 GPU sales in China under the Trump administration's evolving stance.
Nvidia must still secure a formal license and evaluate demand, supply capabilities, and Chinese regulatory constraints, as per the analyst.
He noted that any cost impact from the proposed 25% cut to U.S. government allocations remains unclear, though he sees higher COGS as more likely than lower revenue.
Despite rising memory costs, Arya said Nvidia's mid-70% gross-margin outlook remains intact, and he argued the stock's valuation looks compelling, well below other mega-caps.
NVDA Price Action: Nvidia shares were down 2.64% at $178.92 at the time of publication on Thursday, according to Benzinga Pro data.
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