Nvidia rises as Daiwa Capital upgrades, citing recent checks
BING-JHEN HONG
Nvidia (NASDAQ:NVDA) shares rose slightly less than 1% in pre-market trading on Friday as investment firm Daiwa Capital upgraded the tech giant, citing recent checks into the company's strong position in artificial intelligence.
Analyst Louis Miscioscia raised his rating on Nvidia (NVDA) shares to outperform from neutral and boosted his per-share price target to $475 from $408, noting the company's dominance in AI and in particular, generative AI, will be difficult to match for competitors like AMD (AMD) and Intel (INTC) due to Nvidia's full-scale offerings. 
"Many reports suggest AMD/Intel GPUs are pretty darn powerful, they are, but it is not just about silicon, it is about everything combined," Miscioscia wrote in the investor note.
Nvidia (NVDA) is also likely to benefit from the fact that not only will every company want to use something like ChatGPT, which used public data to train, but will likely build something with their own internal data. As such, GPUs being used for training can be considered a new market, Miscioscia added.
Miscioscia also said the potential semiconductor restrictions being considered by the Biden Administration' are not likely to be an issue this year.
Analysts are largely cautious on Nvidia (NVDA). It has a HOLD rating from Seeking Alpha authors, while Wall Street analysts rate it a BUY. Conversely, Seeking Alpha's quant system, which consistently beats the market, rates NVDA a HOLD.
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