Nvidia is a must-own tech stock ahead of earnings release: Analyst

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Ahead of Nvidia Corp.’s next set of earnings, one analyst says the stock is a must-own for any tech fund while predicting the stock to hit US$800.

Hans Mosesmann, a senior research analyst at Rosenblatt Securities, said in an interview with BNN Bloomberg Monday that the Santa Clara-based company benefits from a lack of competition and that “the street” is typically slow to understand new technology. Mosesmann’s price target represents an around 85 per cent appreciation from where Nvidia is currently trading ahead of its“If you don't own Nvidia and you’re an AI tech fund, you're in trouble, you need to own it,” Mosesmann said.

Mosesmann also believes the tech company is poised to benefit from software subscriptions over the next several years. “This company over the next four, five [or] six years, half the business is going to be software subscriptions, royalties, that's all profit. The model is just starting to inflect,” he said. “Nobody can compete really within Nvidia, nobody can stop them. The hyper scalers can't stop them. The software that they've developed over 15 years is overwhelmingly a strategic advantage for years to come,” he said.

 

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