BMO Reaffirms Outperform Rating on Nvidia Amid Strong AI Demand

BMO Capital has reiterated its Outperform rating on Nvidia stock (NASDAQ:NVDA), citing the company's strong growth prospects driven by AI demand. According to BMO, Nvidia's full-stack end-to-end platform is the industry's best for enabling AI training and inference.

The firm hosted a call with Nvidia's investor relations team after the company's second-quarter earnings, where it reiterated its 70% growth forecast for fiscal year 2028. This growth is driven by demand across various sectors, including hyperscalers and AI labs.

BMO also pointed out that supply constraints are centered on memory and foundry wafers, but Nvidia's GPU fungibility coupled with CUDA support for open and closed models extends the useful life of its products. As a result, the company's momentum is reflected in its remarkable 83% revenue growth over the last twelve months.

Following BMO's reiteration, other analysts have also reaffirmed their positive views on Nvidia stock. StoneX and Needham both reiterated their Buy ratings with price targets set at $335.00 and $300.00, respectively. Cantor Fitzgerald maintained an Overweight rating with a $350.00 price target, citing AI infrastructure demand trends.

JP Morgan also reiterated its Overweight rating with a $320.00 price target after discussions with Nvidia's investor relations team, highlighting the company's growth framework for fiscal year 2028 driven by demand across various sectors.