In "The Big Bank," Citigroup gives NVIDIA a target price of $186.52 with a rating of "highly confident in outperforming the market."

Citi's research report points out that NVIDIA (NVDA.US) is expected to achieve revenue of $57 billion in the third quarter of 2026, exceeding its guidance upper limit by 3.5%, marking the best performance in nearly four quarters. The revenue expectation for the fourth quarter is $66.3 billion (upper limit), higher than JP Morgan's previous forecast of $64 billion, and suggests that the AI business will experience stable growth, potentially accelerating.

It is noteworthy that NVIDIA's revenue growth guidance for the fourth quarter is higher than that for the third quarter, indicating that NVIDIA's stable growth momentum is sufficient to refute pessimistic views on artificial intelligence. This pessimism overlooks the viral spread of AI application cases, the growth of token consumption, 73 AI startups with annual recurring revenues exceeding $100 million, and the expected decline in token costs with the launch of newer, faster GPUs in 2026.

Citi maintains a "high conviction outperform" rating on NVIDIA, based on a projected price-to-earnings ratio of 35 times for 2028, setting a target price of $270