Nvidia shares are experiencing a decline following the tech company’s recent market high. The decline, however, does not phase Hans Mosesmann, the Senior Research Analyst at Rosenblatt Securities, who remains bullish about the stock. Mosesmann is the Wall Street analyst with the highest price target for Nvidia, believing it is the best way to invest in AI for the coming decade.
Mosesmann doesn’t view the recent market turmoil as a significant worry, considering Nvidia’s promising future in AI. He argued that Nvidia is not merely a chipmaker anymore but a platform expanding into all things AI-related.
The cloud sector holds most of Nvidia’s current business, but as more AI tasks move from the cloud to devices at the edge, new players such as Arm and Qualcomm could come into play. However, Mosesman believes Nvidia can secure value capture by monetizing their entire AI stack, including hardware and software platforms.
Regulators’ worries about Nvidia’s global dominance in AI are expected, as the company is continually expanding into new areas, making established players in the networking and storage industries think twice. Nevertheless, Mosesmann believes Nvidia is neither predatory nor using dubious pricing strategies to capture these markets.
In the highly competitive AI landscape, Mosesman foresees a battle between traditional hardware companies and Nvidia. Intel and AMD are under strain as the general-purpose server market wanes due to accelerated computing. Meanwhile, Nvidia attempts to capture value in networking, storage, and other areas, aiming for a comprehensive solution. Ultimately, Mosesman remains a strong advocate for Nvidia among his top picks for 2023.
