Nvidia (NVDA) -) shares extended gains in late Monday after analysts at Goldman Sachs added the chipmaker, along with three other stocks, to its flagship list of stock recommendations.
Goldman Sachs analyst Steven Kron added Nvidia to the bank's 'Americas Conviction List', a step up from the 'buy' rating it assigned to the stock in late August, while holding its price target in place at $605 per share.
"Look for Nvidia to maintain its statues as the accelerated computing industry standard for the foreseeable futures given its competitive moat and the urgency with which customers are developing and deploying increasingly complex AI models," Goldman argued.
The bank also added cybersecurity group Okta (OKTA) -), industrial supply group Cintas (CTAS) -) and biotech Quanterix (QTRX) -) to the 'conviction buy' list while removing Salesforce (CRM) -) and Johnson Controls. (JCI) -)
Nvidia, the world's biggest AI chipmaker, forecast current quarter revenues of around $16 billion in August when it published stronger-than-expected second quarter earnings and later unveiled an make it easier for clients to run AI applications on Google Cloud GOOGL using Nvidia-made chips with deeper integration between hardware and software offerings.
“We’re at an inflection point where accelerated computing and generative AI have come together to speed innovation at an unprecedented pace,” said CEO Jensen Huang of the Google agreement. “Our expanded collaboration with Google Cloud will help developers accelerate their work with infrastructure, software and services that supercharge energy efficiency and reduce costs.”
Nvidia shares were marked 2.4% higher in late Monday trading to change hands at $445.02 each. The stock is up more than 203% for the year, and reached an all-time high of $487.84 on August 29.
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