Nvidia Corp’s (NASDAQ:NVDA) advanced artificial intelligence chips could soon make way to Saudi Arabia as the U.S. contemplates its advanced semiconductor sanctions on the country it had imposed in 2024.
The Saudi government is eying Nvidia’s H200 chips, Reuters cites U.S. and Saudi officials at Saudi Arabia’s Global AI Summit (GAIN).
The U.S. initially imposed advanced semiconductor sanctions on China in 2023, citing national security concerns.
Also Read: AMD Gains Ground in AI Chip Market, Oracle Exec Confirms Growing Demand: Report
In 2024, the embargo on Saudi Arabia followed for its alleged proximity to China. Interestingly, Nvidia AI chips continue to enter China via smuggling and other channels.
Saudi Arabia’s engagement in the AI sector has increased, as evidenced by its participation in AI-driven initiatives and partnerships to reduce its reliance on Chinese firms. This has prompted the U.S. to reevaluate its embargo on the country.
Nvidia’s quarterly print left the Street unimpressed, which led to a broader industry selloff.
Analysts, including Wedbush Securities analyst Matt Bryson and Oppenheimer analyst Rick Schafer, maintain Nvidia as the critical AI play as Big Techs, including Microsoft Corp (NASDAQ:MSFT), Amazon.Com Inc (NASDAQ:AMZN), and Alphabet Inc (NASDAQ:GOOG) (NASDAQ:GOOGL), splurge on their AI ambitions.
Nvidia Stock Prediction For 2024
Equity research can be a valuable source of information for learning about a company’s fundamentals. Analysts create financial models based on the fundamentals and expected future earnings of a company to arrive at a price target and recommendation for the stock.
Shares of NVIDIA have an average 1-year price target of $154.27, representing an expected upside of 31.63%.
Because of differences in assumptions, analysts can arrive at very different price targets and recommendations. No analysts have bearish recommendations on NVIDIA, while 42 analysts have bullish ratings. The street high price target from Rosenblatt is $200.0, while the street low from DA Davidson is $90.0.
Nvidia stock has risen 161% in the last 12 months. Investors can gain exposure to the stock through the SPDR S&P 500 (NYSE:SPY) and the Vanguard S&P 500 ETF (NYSE:VOO).
Price Action: NVDA stock is up 1.20% at $118.31 at the last check on Thursday.
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