March 18 witnessed a monumental event for Nvidia Corp (NVDA). At the GPU Technology Conference (GTC 2024), the company showcased groundbreaking updates and advancements in accelerated computing.
Although the event failed to significantly impact Nvidia’s stock on Monday, with a mere 0.70% increase during trading hours, it did experience a 1.42% dip in post-market trading.
The Nvidia Analyst: JPMorgan analyst Harlan Sur reiterated an Overweight rating on Nvidia stock with a robust price target of $850 per share.
Sur expressed confidence in Nvidia’s ability to reap the benefits of major trends in AI, high-performance computing, gaming, and autonomous vehicles.
Nvidia’s Strategic Moves Post GTC 2024
Following the event, Sur provided valuable insights on Nvidia’s future trajectory. Three key announcements stole the limelight:
1. Innovative Technology Showcase: Nvidia unveiled its cutting-edge Blackwell accelerated GPU computing architecture and introduced the B200 chipset, aimed at AI and data center acceleration. The B200 GPU delivers a remarkable 2.5x improvement in training and an impressive 5x improvement in inference over its predecessor, the H100 chipset.
2. Product Portfolio Expansion: The company is strategically transitioning to a 2-chiplet architecture with 192GB of HBM3e memory. This move sets the stage for a range of system-level solutions, including HGX B200, HGX B100, and GB200 NVL72, offering customers accelerated time-to-market and enhanced product segmentation.
3. Upgraded Connectivity Solutions: Concurrent with the Blackwell reveal, Nvidia is enhancing its networking infrastructure with advanced InfiniBand and Ethernet solutions. These enhancements are set to propel data transmission speeds to unprecedented levels. Adoption of 800GB InfiniBand and Ethernet optical networking guarantees seamless integration with the latest industry advancements.
Collaborations and Venture into Humanoid Robots Market
Sur highlighted Nvidia’s focus on expanding its ecosystem through partnerships with leading vendors and innovative software strategies like Nvidia Inference Microservice (NIM), aimed at driving AI adoption across various industries.
Moreover, Nvidia’s complete development platform is opening doors to new opportunities, including entry into the burgeoning humanoid robots market. Leveraging initiatives such as Project GR00T and Jetson Thor robotics computer, Nvidia is poised to make substantial progress in this sector.
Investment Outlook: Sur remains optimistic about Nvidia’s prospects across all segments, positioning it favorably for investors. Despite seasonal variations, strong demand in PC gaming and robust growth in the data center sector are expected to be primary revenue drivers. Encouraging signs in the automotive and enterprise segments further strengthen the investment case.
“Nvidia continues to stay 1-2 steps ahead of its competitors,” he added.
