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Nvidia Corp (Nasdaq: NVDA) has nearly tripled this year already but a Goldman Sachs analyst still sees further upside ahead in this semiconductor behemoth.

Nvidia stock has upside to $495

On Monday, Toshiya Hari maintained his “buy” rating on the chipmaker and raised his price target to $495 that signals a close to 20% upside from here.

He recommends investing in Nvidia stock primarily to ride the wave of artificial intelligence.

Nvidia has been a key enabler and beneficiary of traditional AI. Recent step-function increase in data centre revenue outlook suggests it has entered a new phase of growth driven by Gen AI.

Nvidia GPUs are pivotal to training large language models which alone could be a $13 billion revenue opportunity (base case) for the California-based company, as per the Goldman Sachs analyst.

Other revenue opportunities for Nvidia

In his research note, Hari said “search” could yield up to $1.0 billion for Nvidia Corp in 2025 and projected enterprise and social media to be a $2.1 billion and $1.9 billion opportunity.

The Goldman Sachs analyst likes Nvidia stock because he expects inferencing to meaningfully contribute to the company’s top line as well.

We recognise that we are presenting a very large range of potential outcomes, but we believe this is far given how nascent Gen AI is and associated difficulty in predicting adoption rates.

Last week, the Nasdaq-listed firm partnered with Intel Corp on extensive attestation services for its H100 GPUs. Other notable Nvidia bulls include famed investor Jim Cramer (source).

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