Nvidia(US:NVDA) Sou Hu Cai Jing·2025-09-13 07:44Core Viewpoint - DA Davidson has reversed its stance on Nvidia, changing its rating from "neutral" to "buy" and raising the target price from $195 to $210, driven by increased optimism regarding AI computing demand [3][4]. Group 1: Rating Change - DA Davidson previously predicted a potential 48% drop in Nvidia's stock price, citing concerns over peak spending by large tech companies by 2026 [3]. - The firm has now shifted its outlook, attributing the change to a more favorable view on the growth of AI computing demand, which has exceeded previous expectations [4]. Group 2: Demand for Computing Power - The analysts emphasized that the overwhelming growth in computing power demand is the most critical factor, suggesting Nvidia is likely to maintain growth over the next two years regardless of the source of that growth [4]. - The previous concerns about peak spending have been dismissed, as the demand for AI computing power continues to rise [4]. Group 3: Investment Perspective - The change in institutional ratings serves as a signal rather than a directive for short-term trading; long-term investors should focus on the underlying logic of AI computing demand [4][5]. - The ongoing demand for computing power in the AI sector indicates that the long-term logic for related industries remains intact [5].