BMO Capital Markets analyst Ambrish Srivastava boosted his price target on shares of Nvidia Corp. NVDA, +0.70% to $1,000 from $750, with the new target being the highest among analysts tracked by FactSet who cover Nvidia’s stock. Shares are up 1.4% in premarket trading Thursday. Srivastava is upbeat about the growing relevance of software to the Nvidia business model. “As we look further out to the company’s data center business, we now see the business growing to a $32 billion business a few years out versus our prior expectation of $25 billion,” he wrote in a note to clients. “We also think that as software starts to become a bigger portion of the business, [gross margins] will continue to trend up, and we now see GMs of 75% for the business versus our prior modeled 72%.” Nvidia shares closed at $800.10 in Wednesday’s session. The shares are up 53% so far this year as the S&P 500 SPX, +0.31% has increased 14%.
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