Baird analyst Tristan Gerra raised the price target on NVIDIA (NASDAQ: NVDA) to $225.00 (from $195.00) while maintaining a Outperform rating.

The analyst comments "Raising our revenue and EPS estimates on a significant acceleration in GB200 sell-through shipments in July and expected ongoing shipment momentum; xAI shipments will be F4Q weighted. Our initial 2026 outlook for TSMC's CoWoS-L capacity is to nearly double YoY, while total CoWoS capacity is expected to be up 50% in each of 2026 and 2027. Outperform-rated. Raising our revenue and EPS estimates on a significant acceleration in GB200 sell-through shipments in July and expected ongoing shipment momentum. xAI shipments will be F4Q weighted. Our initial 2026 outlook for TSMC's CoWoS-L capacity is to nearly double YoY, while total CoWoS capacity is expected to be up 50% in each of 2026 and 2027. GB300 is on track for an initial late September launch, and represents a significant performance step-up versus GB200. GB300 has been sampling for the past few months to key data center ODMs, with no system-level implementation issues. VR may feature 400G per lane, all NVLink. Initial CPO ramp starts with VR 800G. The AI GPU competitive landscape remains very favorable to Nvidia for this second-half as well as next year. Spectrum-X is gaining continued traction at new public cloud data centers, along with xAI and Meta, focusing on 200G per lane connections and above. Adaptive routing, congestion management are differentiated features providing class-leading point-to-point low latency. Cisco has been a reseller of Spectrum-X since May. ConnectX-8 is targeting 80-90% market share in AI servers. Nvidia Cloud Partners (NCP) initiative is rapidly expanding, targeting enterprise private clouds for GPU as a service and AI as a service. Reiterating Outperform rating. New price target is $225."