NVDA: Nvidia Smashes New Records as Microsoft, Meta Ramp Up Spending

July 31, 2025

July 31 – NVIDIA (NVDA, Financial) hits a new all-time high after climbing about 2% on Thursday morning. Investors see its GPUs as the go-to for AI model training.

NVDA: Nvidia Smashes New Records as Microsoft, Meta Ramp Up Spending
NVDA: Nvidia Smashes New Records as Microsoft, Meta Ramp Up Spending

Microsoft (MSFT, Financial) reinforced that view by reporting fourth-quarter capital expenditures of $24 billion, well above the $21.4 billion analysts expected. Meta Platforms (META, Financial) also boosted its 2025 capex floor to $66 billion-$72 billion from $64 billion-$72 billion, signaling continued AI hardware spending.

Those hefty budgets point straight back to NVIDIA’s processors, with demand for its H100 and A100 chips surging in cloud data centers. A new European project, Stargate Norway, a partnership of OpenAI, Nscale and Akerplans to deploy 100,000 NVIDIA GPUs in Narvik by end-2026, running AI workloads on renewable energy.

Rival chipmakers felt the lift too: Advanced Micro Devices (AMD, Financial) inched up about 2%, while Broadcom (AVGO, Financial) added 1% before the opening bell. With AI investments accelerating, NVIDIA’s rally underscores its central role in powering next-gen computing.

NVDA: Nvidia Smashes New Records as Microsoft, Meta Ramp Up Spending
NVDA: Nvidia Smashes New Records as Microsoft, Meta Ramp Up Spending

Based on the one year price targets offered by 53 analysts, the average target price for NVIDIA Corp is $184.95 with a high estimate of $372.87 and a low estimate of $100.00. The average target implies a upside of +3.17% from the current price of $179.27.

Based on GuruFocus estimates, the estimated GF Value for NVIDIA Corp in one year is $280.31, suggesting a upside of +56.36% from the current price of $179.27. Gf value is Gurufocus’ estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business’ performance. For deeper insights, visit the forecast page.

This article first appeared on GuruFocus.

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