Posted: Feb 21, 2023 at 4:11 PM ET
Nvidia Corp.’s earnings warmed up on Tuesday as Microsoft Corp. and the graphics-processing-processing giant announced a 10-year partnership to bring Activision Blizzard Inc.’s catalog to the next level. Plus Xbox games to Nvidia’s GeForce Now cloud gaming service.
This redirects focus on Nvidia’s NVDA data center sales and the contribution of public cloud providers such as Microsoft’s MSFT Azure. In late January, Microsoft also announced a new investment in OpenAI, the startup behind ChatGPT, as well as plans to deploy an AI startup…
Nvidia Corp.’s earnings warmed up on Tuesday as Microsoft Corp. and the graphics-processing-processing giant announced a 10-year partnership to bring Activision Blizzard Inc.’s catalog to the next level. Plus Xbox games to Nvidia’s GeForce Now cloud gaming service.
This redirects the focus to Nvidia
NVDA
Data center sales and contribution from public cloud providers such as Microsoft
MSFT
I visit. In late January, Microsoft also announced a new investment in OpenAI, the startup behind ChatGPT, as well as plans to deploy the startup’s AI technology across its services.
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UBS analyst Timothy Arcuri raised the price target to $270 from $200 and maintained a Buy rating, saying he remains “very bullish on the long-term generative AI opportunity and both hardware/software.” [total-addressable market] which was opened as [Nvidia’s graphics processing unit] Hopper is the only viable solution for training these massive models – but the key is “long run”. “
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“In addition to the rapidly spreading new revenue streams (direct software licensing, Microsoft’s cloud supercomputer deal, Grace Hopper CPU, etc.), there’s a lot here to like,” said Arcuri.
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said CJ Muse of Evercore ISI, who reiterated his superior assessment of what he called “one of the best growth names in all technical areas.”
“This is the main story for Nvidia today as the launch of OpenAI’s ChatGPT has apparently ignited the chatbot wars across supervillains (where Nvidia is the main beneficiary),” Musa said.
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Susquehanna financial analyst Christopher Rowland, who has a positive rating on the stock, raised his price target to $265 from $185 due to the AI connection.
While directing the data center from Intel
INTC
And [Advanced Micro Devices Inc.]
AMD
Were poor for an hour, Nvidia has a chance to outperform its peers given the momentum behind AI and newly launched applications like ChatGPT,” Rowland said.
meta
) which may indicate continued spending on the H100/A100. “
Also on Tuesday, Microsoft announced 10-year partnerships with Nvidia and Nintendo Co.
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In an apparent effort to appease antitrust regulators who are blocking a deal to acquire Activision Blizzard without some kind of divestment.
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