Bank of America sees Nvidia overcoming DeepSeek, trade war challenges and rising to all-time high

Nvidia should have no issue navigating headwinds tied to global trade and rising competition, allowing shares to hit a fresh all-time high, according to Bank of America. BofA reiterated a buy rating on the artificial intelligence darling, alongside a $190 price target. Bank of America’s forecast implies nearly 63% upside from Monday’s $116.66 close. While Nvidia stock has surged more than 76% over the past year, its shares have been under pressure so far in 2025 and have dipped 13% year-to-date, as the rise of DeepSeek sparked a tech sector sell-off. Investors are reevaluating the AI trade, as they try to gauge how much investment will be needed and which companies will dominate the technology. NVDA 1Y mountain Nvidia stock. Bank of America analyst Vivek Arya said Nvidia is still well positioned despite DeepSeek’s large language model sparking questions about whether or not the tech sector’s high spending for AI development is necessary. The analyst noted large customers, Meta Platforms and Microsoft , which recently reported earnings, have not pulled back on their capital expenditure plans. This suggests Nvidia’s sales will continue to grow at a robust pace. Nvidia reports its fourth-quarter results on Feb. 26. While President Donald Trump on Saturday announced stiff tariffs on Canada, China and Mexico, and Beijing hit back with its own duties, set to begin on Feb. 10, the door is open for the world’s largest economies to come to a new trade agreement, Arya said. At the moment, tariffs for Canada and Mexico have been placed on pause . Regardless, the analyst expects overall demand will offset any losses seen in the Chinese market. This is especially true given most global server production has shifted away from Beijing and toward Taiwan, Mexico and even the U.S., he said. “Overall, we expect rising demand from the west (US cloud, enterprise, OpenAI Stargate etc.) to offset China headwinds for NVDA,” Arya said. “Some have pointed to NVDA’s rising Singapore exposure but that’s a ‘bill-to’ and not a ‘ship-to’ destination, per NVDA.”