Nvidia's (NVDA) - Get Report stock price climbed Friday after a trio of bullish analyst notes urged investors to snap up shares of the chipmaker amid optimism over the company's 2020 growth prospects.
Nvidia's stock price rose 1.6% to $246.90 following upbeat research notes from analysts at Bank of America, Citigroup, and Bernstein.
Bank of America analysts have picked Nvidia as their top, large-cap semiconductor stock for 2020, hiking their price target to a Wall Street-high $300 a share, which would imply a more than 20% premium over its current trading price.
Semiconductor sales are expected to rise 7% in 2020, rebounding from a 13% dive in 2019 and driven by an 18% surge in the sale of memory chips, according to analysts at BofA.
The steady growth and emergence of 5G, artificial intelligence, cloud computing, electric vehicles and advance driver assistance systems will also help spark rising sales in the semiconductor industry in the year ahead, the Bank of America analysts predicted.
The easing of trade tensions between the United States and China also expected to help, according to the note.
"Data is the new oil of the global economy, and the consolidated/highly profitable chipmakers are uniquely positioned to provide the fundamental processing, storing and connectivity building blocks," wrote analysts at Bank of America.
Meanwhile, analysts at Bernstein raised their price target on shares of Nvidia to $225, which, while up from $190 previously, is below its chipmaker's current trading price.
Citigroup, in turn, has opened a "positive catalyst watch" on the chipmaker following the CES technology show, Bloomberg reported.
Nvidia analysts "sounded positive" at the CES show on the prospects for a bump up in data center demand in 2020, the Citigroup analysts noted.