Nvidia’s (NVDA) new artificial intelligence graphics processor, Blackwell, leaves the company in a “very strong position,” Morgan Stanley said in a note to clients Tuesday.
“It will take time to evaluate the performance claims for Blackwell, but if they hold up even directionally, our sense is that the company’s ability to raise the bar this much leaves them in a very strong position,” Morgan Stanley said.
Amazon.com’s (AMZN) Amazon Web Services, Dell Technologies (DELL), Alphabet’s (GOOG, GOOGL) Google, Meta Platforms (META), Microsoft (MSFT) and Tesla (TSLA) are among the companies expected to adopt Blackwell, Nvidia said late Monday.
“Just because there were no big surprises does not change the fact that competing with this roadmap, as a direct merchant
competitor or a custom silicon provider, is going to be very difficult, particularly given Nvidia’s shift to an annual cadence,” Morgan Stanley said.
The investment firm kept Nvidia’s overweight rating with a $795 price target.