Nvidia Sees Minor Increase in Stock Price on First Trading Day Post-Split With Raised Price Targets

Money | June 11, 2024, 5:35 a.m.

Following Nvidia's 10-for-1 stock split, shares closed slightly higher as analysts raised their price targets for the chipmaker. Barclays, Susquehanna, and TD Cowen analysts increased their objectives for Nvidia, emphasizing the affordability of the stock post-split compared to competitors like Advanced Micro Devices. The split-adjusted price may attract a broader range of investors, with Morgan Stanley highlighting the accessibility of Nvidia stock. Nvidia's shares closed 0.8% higher at $121.79 on the first day of split-adjusted trading, with Barclays setting a new price target of $145. Analysts anticipate growth in artificial intelligence product revenue and benefits from sovereign AI, driving confidence in Nvidia's future prospects. The stock's lower price per share post-split could lead to increased demand and potentially higher stock prices down the line.