Nvidia (NVDA) Gets Vote of Confidence From Citi as AI Capex Set to Soar

NVIDIA Corporation (NASDAQ:NVDA) is one of the AI Stocks Making Waves on Wall Street.  On July 31, Citi reiterated Nvidia and Broadcom as Buy and Advanced Micro Devices as Neutral.

The firm believes that all three stocks are beneficiaries of Microsoft and Meta’s increased capex.

“We believe AVGO and AMD will be the primary beneficiaries of Microsoft’s and Meta’s increased capex. We note that Microsoft is roughly 8% of AMD’s sales and Meta is roughly 2% of AVGO’s sales. Citi expects cloud data center capex to grow 35% YoY in 2025 and 15% YoY in 2026. We view this as positive for AI-exposed stocks such as AVGO, AMD, MU, and NVDA.”

NVIDIA Corporation (NASDAQ:NVDA) specializes in AI-driven solutions, offering platforms for data centers, self-driving cars, robotics, and cloud services.

While we acknowledge the potential of NVDA as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None.