The price target still represents a potential 14% upside from the stock's previous closing price of $262.95. Nvidia shares fell 1.3% to $259.60 Monday morning.
Analysts at the firm said that Nvidia is "vastly" outperforming following a 12% year-to-date jump in share price compared to the 13% decline in the Philadelphia Semiconductor Index over the same time period.
As a result, there are more attractive entry points for the semiconductor maker than its current level ahead of its May 21 first quarter earnings release date, according to Monday's note.
Monday's downgrade comes about eight weeks after analysts at Craig Hallum raised the company's price target to $325.
This time around, Craig-Hallum analyst Richard Shannon cited a more balanced risk/reward equation as well as lowered gaming revenue estimates in 2021 owing to the impact of coronavirus on the gaming industry.
Earlier this month, Nvidia unveiled notebook versions for its high-end RTX 2080 Super and RTX 2070 Super GPUs, after having launched desktop versions last summer.
Like their desktop counterparts, the notebook versions of the 2080 Super and 2070 Super will deliver moderately better performance than the standard RTX 2080 and RTX 2070, while maintaining similar price points.
"The fact that we’ve been able to get RTX into a thin and light notebook is really a breakthrough," Nvidia CEO Jensen Huang said during the company's fourth quarter earnings call.