Evercore ISI raised its price target on NVIDIA (NASDAQ: NVDA) to $225 from $214 while maintaining an Outperform rating, citing confidence in the chipmaker’s role as the dominant supplier in the AI ecosystem following a deal with OpenAI.
The firm said NVIDIA was selected as OpenAI’s preferred supplier as the AI firm sought to address surging demand. The agreement covers at least 10GW of AI infrastructure, with NVIDIA expected to supply GPUs, racks, networking, and software. Management noted its historical total addressable market was $30–40 billion per GW but could trend higher going forward.
Evercore estimated the OpenAI partnership could generate an additional $5.5 billion in revenue for NVIDIA in the second half of calendar 2026. It said the deal added upside to its revenue forecasts, supported by benchmarks from large-scale projects such as Colossus, Prometheus, and Project Rainier.
