NVIDIA Corp.'s (NASDAQ:NVDA) latest quarterly results reinforced Wall Street's confidence in the company's leadership across AI infrastructure, with analysts from Wolfe Research, UBS, and Bernstein highlighting strong demand trends, expanding market opportunities, and resilient long-term growth prospects.

Wolfe Research's Chris Caso Says NVIDIA Continues Leading AI Infrastructure

Wolfe Research senior analyst Chris Caso told CNBC on Thursday that NVIDIA delivered another strong "beat and raise" quarter, with both earnings and guidance exceeding company forecasts and Wall Street expectations.

Caso said investors remain focused on whether hyperscalers building their own chips could pressure NVIDIA's market share. However, he pointed to NVIDIA adding customers such as Anthropic in the hyperscale market as evidence that the company continues to gain traction.

He added that NVIDIA now generates roughly half of its business from hyperscalers. At the same time, the rest comes from sovereign AI projects, enterprises, and other customers that rely on NVIDIA's full hardware-and-software platform instead of developing custom chips internally.

Caso also said NVIDIA's long-term advantage will depend on maintaining performance leadership in AI inference workloads, where he believes NVIDIA currently offers lower costs than competitors.

While he acknowledged rising memory prices could pressure margins over time, Caso said revenue growth remains strong enough to support continued earnings expansion.

He added that NVIDIA remains the top AI stock pick because of its central role in the broader AI infrastructure buildout and its attractive valuation relative to growth.

Caso said the company's appeal comes down to valuation, recent stock underperformance and its central role in AI.

"The reason for that is part the valuation, the fact that it has lagged, and the fact that it is at the center of all AI," Caso said. "We think the valuation, given the growth rate and the prospects ahead of them, is just unreasonable at this point when it's trading at a discount to most everything else within AI."

UBS' Alli McCartney Says NVIDIA Still Anchors The AI Trade

UBS Alignment Partners Managing Director Alli McCartney told CNBC on Thursday that NVIDIA's earnings reinforced the strength of the broader AI infrastructure boom, even as the stock pulled back following results.

McCartney said NVIDIA's quarter largely matched expectations for strong growth and continued AI momentum. She added that earnings growth has remained solid across much of the market, not just among hyperscalers and AI-focused companies.

She described NVIDIA as the "behemoth" at the center of the AI trade, citing its rapid revenue growth, expanding buybacks and dividend strategy, and influence across semiconductors, infrastructure, energy, and agentic AI.

McCartney argued that long-term secular AI trends continue to support demand for chips, computing infrastructure, and energy capacity despite ongoing investor concerns about inflation, interest rates, and economic growth.

According to McCartney, NVIDIA's post-earnings decline reflected the optimism investors had already priced into semiconductor stocks after a strong rally, rather than any deterioration in NVIDIA's fundamentals.

Bernstein's Stacy Rasgon Raises NVIDIA Price Forecast After Strong Quarter

Bernstein analyst Stacy Rasgon told CNBC on Friday that he has raised his NVIDIA price forecast to $315 from $300 after the company delivered what he described as another "really great" quarter.

Rasgon highlighted NVIDIA's expanding CPU opportunity, noting the company expects roughly $20 billion in CPU revenue this year, with most of that contribution arriving in the second half.

He argued that investors may be underestimating NVIDIA's importance to the broader AI ecosystem as attention shifts toward newer AI-related themes.

According to Rasgon, many AI investment areas — including memory, semiconductor equipment, and AI infrastructure — still depend heavily on NVIDIA maintaining leadership in compute performance and AI systems.

Rasgon also said NVIDIA's valuation remains compelling relative to its growth trajectory, particularly given the company's continued dominance in AI infrastructure.

He pointed to NVIDIA's expanded buyback authorization and higher dividend as signs of strong cash generation, noting the company could produce roughly $100 billion in free cash flow this year while continuing to invest heavily in supply chains, software, and strategic AI initiatives.

In China, Rasgon said investors should avoid relying on the region as a major near-term growth driver because of ongoing export restrictions. Still, he added that any improvement in China-related policy could create upside for NVIDIA rather than downside.

NVDA Price Action: NVIDIA shares were up 0.12% at $219.78 during premarket trading on Friday, according to Benzinga Pro data.

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