A graphic analyst suggested it Nvidia Corporation NVDA it is a strong buy despite a recent pullback. The analyst also set a target price of $1,150 for the company.
What happened: Todd Gordonthe founder of Inside Edge Capital, expressed confidence in Nvidia’s stock despite the recent decline. He believes the company is poised for another upward move, CNBC reported.
Gordon pointed out that Nvidia, one of the leading stocks in transformative industries, will likely resume its uptrend. He also noted that several other semiconductor companies are showing similar patterns, indicating a potential rally in the sector.
“I say NVDA is just resting its legs getting ready for another move, but this time it’s bringing more friends along for the ride. There are quite a few different names in the semi-industrial sector similarly telling me that once again the tables are ripe for the taking,” she said.
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Despite a recent correction, Gordon remains optimistic about Nvidia’s future. He expects the stock to reach $1,150, which represents a significant increase from the current price.
“The last time we talked about NVDA was on February 21, just before the earnings report, while I was on a ski vacation. I was a little worried because the sellers came in before the report and we isolated a $664 downside support level as a point where I could reduce my position from 8% to 6% in the wealth management portfolio in breakout case,” he explained, adding: “It fell to a low of $662 and held, but I still reduced my holdings to 6%. I tore my Achilles tendon skiing later that day, and the stock rallied about 50% from that low. Ouch. All is well, we are still 6% overweight and I am healing well from surgery.
Gordon said he’s using it too Elliott wave analysis “to assess the maturity of the trend and, in my assessment, we have another fifth wave move towards my target of $1,150 for 2024.”
Because matter: This analysis comes on the heels of a recent decline in Nvidia stock. Despite this, the company is expected to maintain its leadership in the $90 billion accelerator market. This is a significant factor that could contribute to the stock’s future performance.
In early March, the host of CNBC’s “Mad Money.” Jim Cramer he also suggested that a potential market pullback could present an opportunity for investors. “I think people are right to expect a retreat here. But that’s no reason to head for the hills. Instead, you want to raise some money, watch the market widen – as it is doing – and then buy your favorite tech stocks when they go down.”
Additionally, Wall Street analysts have revised their outlook for Nvidia in response to the latest market trends. These adjustments reflect the company’s resilience and future growth potential, further supporting Gordon’s analysis.
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Disclaimer: This content was partially produced with help from Benzinga Neuro and was reviewed and published by Benzinga editors.
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