The US stock market has entered a period of stagnation due to rising geopolitical tensions. But we hope that trade contracts and tariff solutions will once again secure the Wall Street boom this year. For Nvidia (NVDA), it could be monumental. Because that clear market domination paves the way for stocks to reach $235 in 2025.
The company was not meeting the high expectations set in 2024. Specifically, it jumped over 174% that year, significantly surpassing the market. Not this year either, but if everything is said and done, it should be a complete defeat to Wall Street. Market share is the main reason.
Nvidia’s market advantage is focusing on the $235 cap in 2025
The Dow Jones Index, the S&P 500, and Nasdaq all began sliding on Tuesday amid ongoing macroeconomic and geopolitical concerns. It has been, more or less, a crucial feature of the previous year of the US stock market. Increased volatility is a common theme, with few companies proven exceptions.
One company that failed to meet the high expectations was Nvidia. AI chip makers have skyrocketed by more than 25,000% over the past decade, while the S&P 500 only jumped by 180%. This sets clear criteria that are not met five months a year. However, that may change as Nvidia’s market advantage opened up a way in 2025 that stocks could reach $235.
At the end of 2024, Nvidia managed a prominent 82% of the overall GPU market. In comparison, AMD (the next closest competitor) only won around 17% of the industry. That’s not all because the data center business owns astronomical 98% of the total market share.
The AI market is poised to grow at a combined annual growth rate of 31% over the next seven years, allowing Nvidia to make a profit. Additionally, that rate could potentially reach $1.31 trillion in annual revenues by fiscal year 2032.
That reality and trajectory must have a major impact this year. According to CNN data, the median price target for Nvidia is $175. But that Bull’s forecast was $235, introducing a 67% upside down. With so many market share and strong unprecedented financial metrics, the market shift has allowed the tech giant to run for a long time. Most importantly, it can turn that high-end outlook into a target.
