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There is an end in sight to Nvidia’ s recent rough patch, and that means now could be a plum buying opportunity for shares of the artificial intelligence darling, according to Bank of America. “[W]e believe the stock is providing a particularly attractive opportunity for one of the most unique, high-quality tech franchises leading the largest and fastest growing secular trends,” analyst Vivek Arya wrote in a Wednesday note. The firm’s buy rating and $200 per share price target imply nearly 76% upside from Wednesday’s close. Shares have pulled slipped more than 15% so far in 2025. March has been especially difficult for Nvidia, which is off nearly 9% during the period as jittery investors shy away from last year’s Big Tech high flyers. NVDA YTD mountain Nvidia stock in 2025. One of the major near-term headwinds lingering over Nvidia stock is the May 15 compliance deadline for the AI diffusion rule. The framework, first introduced in the final days of the Biden administration, is meant to control global AI development by limiting the export of chips from companies such as Nvidia to an approved list of countries. An industry group representing firms such as Amazon, Meta Platforms and Microsoft has urged President Donald Trump to loosen some of the rules before the deadline. However, the effect that the still unknown final ruleset has had on Nvidia stock may have been overblown, Bank of America’s Arya said. He expects the stock to rebound sharply once some clarity is provided by the Trump administration. “Once the geopolitical concerns are sized and priced, we expect NVDA to recover, much like the relative recovery we have seen in semicap stocks this year once China exposure was reflected in wafer fab [wafer fabrication] equipment spending,” he said. Get Your Ticket to Pro LIVE Join us at the New York Stock Exchange! Uncertain markets? Gain an edge with CNBC Pro LIVE , an exclusive, inaugural event at the historic New York Stock Exchange. In today’s dynamic financial landscape, access to expert insights is paramount. As a CNBC Pro subscriber, we invite you to join us for our first exclusive, in-person CNBC Pro LIVE event at the iconic NYSE on Thursday, June 12. Join interactive Pro clinics led by our Pros Carter Worth, Dan Niles and Dan Ives, with a special edition of Pro Talks with Tom Lee. You’ll also get the opportunity to network with CNBC experts, talent and other Pro subscribers during an exciting cocktail hour on the legendary trading floor. Tickets are limited!
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