Nvidia (NVDA, $208.18) gets price target hikes, and a valuation caution
Some analysts raised their price targets on Nvidia. One of them had some valuation concerns, though.
Analysts at UBS increased their price target on the semiconductor company’s shares to $240 from $195, citing the company's 2020 product cycle and its multiple. The analysts are sanguine on Nvidia Ray Tracing graphics chip.
Deutsche Bank analyst Ross Seymore has a positive outlook on the company. However, he is still cautious about valuation. Seymore boosted his price target to $190 from $160, which is still below the company's nearly $208 closing price Friday. The analyst views tailwinds in NVDA's ability to address a wide range of rapidly growing sectors (artificial intelligence, data center, gaming, advanced driver assistance systems/audio-visual, etc.), and he expects optimism on these aspects to remain high heading into fiscal 2021. While Seymore expects that a solid guide may result in incremental upside to estimates, he also feels that much of the positive is already reflected in the shares. Deutsche Bank has a hold rating on Nvidia shares.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
NVDA in +3.48% Uptrend, advancing for three consecutive days on October 05, 2026
Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where NVDA advanced for three days, in 296 of 356 cases, the price rose further within the following month. The odds of a continued upward trend are 83%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on September 22, 2026. You may want to consider a long position or call options on NVDA as a result. In 62 of 79 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 78%.
The Moving Average Convergence Divergence (MACD) for NVDA just turned positive on September 22, 2026. Looking at past instances where NVDA's MACD turned positive, the stock continued to rise in 35 of 46 cases over the following month. The odds of a continued upward trend are 76%.
NVDA moved above its 50-day moving average on September 16, 2026 date and that indicates a change from a downward trend to an upward trend.
The Aroon Indicator entered an Uptrend today. In 262 of 340 cases where NVDA Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 77%.
Bearish Trend Analysis
The RSI Oscillator demonstrated that the stock has entered the overbought zone. This may point to a price pull-back soon.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 9 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where NVDA declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 68%.
NVDA broke above its upper Bollinger Band on October 05, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is 4 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 71, placing this stock better than average.
The Tickeron SMR rating for this company is 13 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is 38 (best 1 - 100 worst), indicating steady price growth. NVDA’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 75 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: NVDA's P/B Ratio (24.155) is very high in comparison to the industry average of (7.902). P/E Ratio (28.933) is within average values for comparable stocks, (163.223). Projected Growth (PEG Ratio) (0.478) is also within normal values, averaging (3.705). Dividend Yield (0.002) settles around the average of (0.007) among similar stocks. P/S Ratio (17.212) is also within normal values, averaging (45.163).
The Tickeron Seasonality Score of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron PE Growth Rating for this company is 88 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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General Information
a manufacturer of computer graphics processors, chipsets, and related multimedia software
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