Nvidia shares will thrive this year as the chipmaker should generate earnings per share above expectations, according to Bank of America Merrill Lynch.
The firm reiterated its buy and "top sector pick" ratings on Nvidia, citing the company's product leadership in several large growth categories.
"Expect beat/raise. … We remain positive on NVDA ahead of Q1 results," analyst Vivek Arya wrote in a note to clients Monday. "In our view, FQ2 sales outlook can be at-least inline or better than consensus from continued data center strength, start of Nintendo Switch sales, workstation demand, and shift of GPU sales to gamers from miners."