nvidia's target price soars to $190: what's fueling the optimism?

2025-08-28 nvidia

New York, Thursday, 28 August 2025.
nvidia’s financial outlook is looking bright. The fair value has been increased to $190. This is up from a previous $170 target. This change mirrors the company’s strong growth within the United States. Investors are watching nvidia closely. The current price is around $179.93. This indicates a dynamic market and strong investor confidence. The company’s leadership in gpu technology underpins this positive adjustment. This makes it a key stock to watch.

financial performance in q2 fiscal year 2026

Nvidia’s second-quarter results for fiscal year 2026, which ended on July 27, 2025, demonstrate significant financial achievements [7]. The company reported revenue of $46.7 billion, marking a 56% increase compared to the previous year and a 6% rise from the prior quarter [7]. Nvidia’s data center revenue reached $41.1 billion, showing a 56% increase year-over-year and a 5% increase sequentially [7]. The Blackwell Data Center revenue experienced substantial growth, increasing by 17% compared to the previous quarter [7].

shareholder returns and capital allocation

Nvidia is committed to returning value to its shareholders. On August 26, 2025, the board of directors authorized an additional $60.0 billion for share repurchases, demonstrating confidence in the company’s future prospects [7]. During the first half of fiscal year 2026, Nvidia returned $24.3 billion to shareholders through share repurchases and cash dividends [7]. The next quarterly cash dividend of $0.01 per share is scheduled for payment on October 2, 2025, to shareholders of record as of September 11, 2025 [7].

product innovation and market expansion

Nvidia continues to innovate and expand its product offerings. The company launched the Blackwell-powered NVIDIA GeForce RTX™ 5060 and introduced NVIDIA DLSS 4 technology, which is now available in over 175 games and applications [7]. Nvidia also announced that Blackwell is coming to GeForce NOW™ with a new Install-to-Play feature, effectively doubling the game library to over 4,500 titles [7]. Furthermore, Nvidia partnered with OpenAI to launch new open-weight models optimized for RTX GPUs [7].

q2 2026 financial metrics

Nvidia’s financial health is evident from its key metrics. The GAAP gross margin for the quarter was 72.4%, while the non-GAAP gross margin was 72.7% [7]. GAAP earnings per diluted share were $1.08, and non-GAAP earnings per diluted share were $1.05 [7]. The company’s net income for the quarter was $26.422 billion, or $1.08 per diluted share [7]. These figures highlight Nvidia’s profitability and efficient operations. Total assets as of July 27, 2025, were $140.74 billion, and total liabilities were $40.609 billion [7].

segment performance highlights

Nvidia’s Q2 2026 results show growth across various segments. Second-quarter professional visualization revenue increased to $601 million, up 18% from the previous quarter and 32% from the previous year [7]. Automotive revenue reached $586 million, reflecting a 3% increase from the previous quarter and a 69% increase year-over-year [7]. These figures demonstrate Nvidia’s diversification and success in different market sectors. Nvidia will host a conference call today, August 28, 2025, to discuss these results with analysts and investors [7].

Bronnen

nvidia stock fair value