Nvidia stock price forecast: One bear unsure if NVDA will grow in 2026
Mar 19, 2025 - businessinsider.com
Analyst Gil Luria from DA Davidson has expressed concerns about Nvidia's growth prospects, suggesting that the company may face significant challenges in 2026 if demand for its GPUs declines. Luria maintains a "neutral" rating with a $135 price target for Nvidia, but in his bear case, he predicts a potential 48% drop in stock value to $60 per share. This scenario could occur if major customers like Microsoft and Amazon reduce AI spending and Nvidia struggles to attract new clients. Luria highlights risks such as China's economic slowdown, restrictions on tech imports, and the need for smaller customers to secure capital for chip purchases.
Despite Nvidia's recent product updates and ongoing AI conference, its stock is down 16% year-to-date, reflecting investor skepticism about its growth trajectory. Luria's outlook is a balance between his bull and bear cases, with a potential 38% increase to $160 per share if Nvidia meets earnings expectations. However, he remains cautious, noting that maintaining the current growth rate will be challenging given the company's rapid expansion in recent years.
Key takeaways:
Nvidia may face growth challenges in 2026 if GPU demand declines, according to analyst Gil Luria.
Luria maintains a "neutral" rating on Nvidia with a $135 price target, but in a bear case, the stock could drop 48% to $60.
Challenges include potential demand stabilization from major customers and economic factors in China affecting chip sales.
Luria's bull case sees Nvidia meeting earnings expectations, potentially boosting the stock by 38% to $160.
