Why Wall Street Analysts say Nvidia could be a deep ‘user’

• This week’s losses, after earning, brought Nvidia’s supplies near January the lowest levels that followed after a deep fall.

• Analysts have largely remained bulls, pointing to the strong prospects of Nvidia on the back of growing demands of AI.

• Several has also said that Nvidia will benefit from Deepseek’s phenomena and growing competition.

Nvidia’s (Nvda) The shares had a difficult start by 2025, with this week’s Post-unos pulling stocks back near the lowest January that followed after a Deepseek-Vodne Sedloff.

Stocks increased on Friday as a stock found some support After falling over 8% on Thursday, but that still remained supplies about 7% lower for a week and year. The analysts are mostly the bull remainedpointing to the strong prospect of Nvidia on the back of growing demands of AI.

Their optimism comes because investors appear uncertain because of the path that is ahead for a recent high section, whose shares have added about half of their value in the last 12 months. Chinese startup DeepseekHe claims that his AI model could follow US rivals for a fraction of costs, and computer resources have increased concerns for NVIDIA’s most advanced chips, but several analysts said they believed to be Nvidia stands in favor From Deepseek’s phenomena and growing competition.

During the Call on Wednesday, executive director Jensen Huang said that Demand for concluding AI accelerates How new AI models appear, giving shouting Deepseek’s R1.

Deepseek “lit a global enthusiasm,” Huang said, adding that “almost every AI programmer” applies R1 or accepts some Deepseek innovations in their own technology. Instead of reducing the need for advanced chips, Huang said, the next generations are likely to require significantly more computer forces to grow Nvidisidia.

Citi and JPMORGAN analysts said that after the call, Huang’s comments on Deepseek and the expected path of computer needs were convinced. Wedbush analysts said they believed Nvidia would eventually end up the “deep user”.

Analysts from the Bank of America suggested that competition from China could also encourage US companies to act with greater rush on AI development, not to increase consumption. In recent earnings calls, several large customers of the great NVIDIA technology, including Target (Target,, Microsoft (Msft,, Amazon (AMZN) and Google Parent Alphabet (Googl), he did just that – the announced plans to collect their capital expenditures to encourage AI ambitions.

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