Nvidia's Valuation Called 'Fundamentally Illogical' as Price Target Soars

Nvidia's stock is poised to break its seven-day losing streak after Raymond James raised its price target on the chipmaker to $352 from $330 and maintained a 'Strong Buy' rating.

The firm expects Nvidia's CPU revenue to grow from about 3% of sales today to roughly 5% by 2028, with CPUs becoming one of Nvidia's fastest-growing businesses and potentially positioning the company as the world's largest CPU revenue generator.

Raymond James also called Nvidia's valuation discount to the broader market 'fundamentally illogical,' noting that the stock trades at less than 15 times projected 2027 GAAP earnings, compared with roughly 18.6 times for the S&P 500.