10 AI Stocks Poised for Big Moves

3. NVIDIA Corporation (NASDAQ:NVDA)

Number of Hedge Fund Holders: 223

NVIDIA Corporation (NASDAQ:NVDA) specializes in AI-driven solutions, offering platforms for data centers, self-driving cars, robotics, and cloud services. On February 27, Morgan Stanley raised the firm’s price target on the stock to $162 from $152 and kept an “Overweight” rating on the shares. The rating, issued after the company’s Q4 earnings report, highlighted how Nvidia’s revenues were slightly better than the firm previewed. However, gross margins were slightly worse.

Gross margin pressures are largely attributed to the GB200 challenges, but firm checks reveal that the situation is improving. The analyst reiterated Nvidia as a “Top Pick”, stating how export controls remain an idiosyncratic risk, but “otherwise everything improves from here”. Guidance has also been positive for the company, with positive discussions about the high demand for Blackwell products. All in all, the firm believes that Nvidia is highly capable of navigating the semiconductor landscape effectively.