Analysts are optimistic that Nvidia’s new Blackwell chip lineup is setting the company up for strong financial performance next year.
Despite some disappointment in the last earnings report, where it didn’t exceed forecasts as dramatically as in previous quarters, analysts still view the company as the best positioned for significant upside.
Cantor Fitzgerald analyst C.J. Muse highlights Nvidia’s potential to surpass expectations, with the Blackwell chip expected to make a notable impact starting in the January quarter. Nvidia projects “several billion” dollars in revenue from the Blackwell lineup, with Wall Street estimates around $4 billion.
Muse predicts Nvidia’s revenue for the January quarter could reach $37 billion, with the April quarter following at $41 billion—both about $1 billion higher than current consensus forecasts.
Nvidia’s CEO, Jensen Huang, described demand for Blackwell as “insane,” reinforcing the company’s history of strong execution.
Muse believes Blackwell will drive growth and ease concerns about any potential slowdown, calling it the most significant product cycle has ever had. He reiterated that Nvidia is their “TOP PICK.”
On Tuesday, Nvidia’s stock continued its upward trend, rising 4%, marking five consecutive days of gains. The stock is now just 2% shy of its all-time high. Mizuho analyst Jordan Klein noted that both long-only and hedge fund investors are becoming increasingly bullish on Nvidia as it heads into 2025, with Blackwell expected to drive significantly higher demand than supply.
Further enthusiasm came from Hon Hai Precision Industry Co. Ltd., an AI server manufacturer, which also pointed to strong demand for the Blackwell chip in a recent interview with Bloomberg.
