Bank of America analyst Vivek Arya maintains a buy rating on NVIDIA, setting a target price of $350. According to his assessment, current market concerns regarding the capital expenditure risks of AI have already depressed NVIDIA's valuation.

Data center revenue continues to grow.

NVIDIA's latest quarterly revenue was $96.2 billion, a year-on-year increase of 106%. Of this, approximately $89 billion came from its data center business, reflecting that the increased production of Blackwell chips is driving revenue growth.

Institutions are optimistic about the continued demand for computing power.

BofA believes that as long as the demand for AI accelerators remains strong, NVIDIA's current valuation is still on the low side. The target price for this stock has more than 50% upside potential compared to the $217 level.

Risks still remain concentrated on customers and shipments.

• The customer concentration is high, and revenue relies on a few major customers.
• The capital expenditure pace of ultra-large cloud providers will still affect orders.
• The shipment progress of Blackwell is also a focal point of market attention.