Wells Fargo Lifts Nvidia Target to $315, Cites $1T AI Pipeline

Wells Fargo raised its price target on Nvidia to $315 on May 12 and maintained an overweight rating. The bank said the target implies roughly 44% upside from the stock’s close the previous day and is based on a projected $1 trillion AI infrastructure spending pipeline by 2027.

The $315 target reflects a 21-times multiple applied to Wells Fargo’s calendar year 2028 earnings-per-share estimate of $14.85. Under that calculation, Nvidia would be earning about $15 per share by 2028. Wells Fargo noted the stock currently trades at less than 20 times what the bank considers durable 2027 consensus estimates; the company’s median next-12-months price-to-earnings ratio over the past three years has been near 32 times.

Analysts highlighted continued demand for Nvidia’s Blackwell AI chips entering the second quarter of fiscal 2027 and referenced an upcoming Vera architecture launch. The note was issued ahead of Nvidia’s next quarterly earnings report.

When Wells Fargo refers to a potential $1 trillion pipeline, it means total capital expenditures from hyperscalers, enterprises and sovereign entities on AI data centers, networking equipment and GPUs through 2027. Major cloud providers including Microsoft, Google, Amazon and Meta have announced increased AI-related capital plans. Wells Fargo’s analysts project Nvidia as a primary beneficiary of that spending.

The report identifies product cadence, customer demand from cloud providers and the pace of enterprise AI deployment as key factors that will influence Nvidia’s future results. The bank kept its overweight rating on the stock.

Background: Nvidia’s GPUs have been a main driver of recent AI infrastructure spending. The company’s valuation has moved with changes in investor expectations, and quarterly earnings reports have regularly affected how investors view the durability of demand for its chips.