Baird Lifts Price Target to $225 on Strong GB200 Demand

Nvidia being Wall Street’s favorite superhero, with GPUs as its superpower that drives chatbots for AI to data centers at a huge level. The stock has been soaring so much that the analysts are running over one another to increase their price forecasts. Now, Baird’s Top analyst, Tristan Gerra, increased its price target for Nvidia from $195 to $225 with an Outperform rating. The upgrade follows from “a notable acceleration in GB200 sell-through shipments in July,” which further solidifies Nvidia’s position as the undisputed leader in the AI-driven chip race. The company, which is currently priced at $4.34 trillion, continues to demonstrate sizzling growth with revenue rising 86% year over year.

GB200 & GB300 Momentum

As per Baird, Nvidia’s GB200 shipments are scaling at a very quick pace, along with xAI shipments leaning mainly in the fourth fiscal quarter. In the future, the focus will be on Nvidia’s GB300, which is all set to ship in late September. Initial sampling with data center ODMs has uncovered no system-level concerns, and the performance surpassing the GB200 could further solidify Nvidia’s position as the leader in AI GPUs.

In contrast, Taiwan Semiconductor Manufacturing Company (TSMC) is likely to almost double CoWoS-L (Chip-on-Wafer-on-Substrate) capacity in 2026, aligning with Nvidia’s long-term manufacturing upgrade. As per the InvestingPro data, a gross margin of 70.11% reveals Nvidia’s achievement to remain profitable while scaling aggressively.

Promising Landscape

Baird thinks the competitive environment for AI GPUs is still very favorable to Nvidia, not only in the second half of this year but continuing through 2025. The key drivers are;

• Spectrum-X deployment in new public cloud data centers like Meta.
• Growing Cloud Partners program, which is aimed at enterprise private clouds for GPU as a Service and AI as a Service.
• ConnectX-8 networking technology, which can take 80 – 90% of the market share of AI servers.

Combined, these efforts reflect Nvidia’s multi-faceted strategy for infusing its technology throughout both hyperscale and enterprise cloud infrastructure.

Strategic Data Center Networking

Nvidia also unveiled its Spectrum-XGS Ethernet technology, aimed at gathering geographically disseminated data centers into a common AI computing system. This solution is specifically meant to address the capacity issue faced by isolated facilities to make them work as a single system. These developments could take Nvidia’s leadership beyond GPUs and further into the infrastructure that drives AI expansion.

Analysts Bullish Outlook

Nvidia’s bull case runs past Baird. Stifel boosted its target from $202 to $212, mentioning the resuming of H20 shipments and increasing demand for GB300 infrastructure. Evercore ISI raised its target from $190 to $214, where it has an Outperform rating, and points to Nvidia’s valuation compared to its peers like AMD and Broadcom. Bernstein also upgraded Ibiden to Outperform, where it sees the firm as a key supply chain beneficiary of Nvidia’s high-end AI GPUs.

The Rising Stock

Baird’s optimism about Nvidia reflects a wider market view that the firm’s AI dominance does not indicate any sign of fading. From record-breaking shipments, building networking strengths, and an increasingly rushing pipeline, Nvidia continues to redefine what growth means. With Wall Street price targets now moving above $210 and the momentum gaining steam towards the GB300 launch, the semiconductor king is still one of the most impactful and is intensely followed stock in the market.

Nvidia’s rise emphasizes a phenomenon that is rare. It is a technology company that not only capitalizes on the AI wave but also helps drive it. The GB200’s speedy selling confirms that its demand is not assumed, rather it’s quite practical. The forthcoming GB300 launch is to carry forward that momentum, and TSMC’s announced CoWoS-L capacity increases the hints that the supply chain is gearing up for an even more massive Nvidia-fueled AI bubble. However, more significant is the firm’s growing dominance outside GPUs, which is its networking, AI enterprise services, and cloud integrations that are emerging as new revenue streams.

The actual progress here is not merely a $225 price target, instead it is Nvidia’s evolution from a chipmaker to an ecosystem builder. Rivals such as AMD and Broadcom can nibble around the margins, but Nvidia remains at the frontline. Investors will fuss about high valuations, but when a firm can reimagine the architecture of tomorrow’s digital world, the exceptional price begins to seem reasonable.