--- title: "NVIDIA's pre-earnings target price raised to $285 by Morgan Stanley; Blackwell and Rubin expected to contribute $1 trillion in revenue" type: "News" locale: "en" url: "https://longbridge.com/en/news/286791640.md" description: "Morgan Stanley analyst Joseph Moore raised the target price for NVIDIA to $285 ahead of the company's earnings report and expects the company's revenue for the quarter to exceed market expectations by $3 billion. Moore also emphasized the importance of the Blackwell and Rubin platforms, predicting they will contribute trillions of dollars in revenue between 2025 and 2027. NVIDIA's long-term performance forecast has also been raised, with the revenue expectation for fiscal year 2027 increased from $353.8 billion to $380.59 billion" datetime: "2026-05-18T15:08:04.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/286791640.md) - [en](https://longbridge.com/en/news/286791640.md) - [zh-HK](https://longbridge.com/zh-HK/news/286791640.md) --- # NVIDIA's pre-earnings target price raised to $285 by Morgan Stanley; Blackwell and Rubin expected to contribute $1 trillion in revenue According to Zhitong Finance APP, NVIDIA (NVDA.US) will announce its first-quarter financial report after the U.S. stock market closes on Wednesday. Before the report is released, Morgan Stanley analyst Joseph Moore once again expressed an optimistic view on NVIDIA's prospects and listed several core focuses that investors should pay attention to during this earnings season. Moore expects NVIDIA to continue its consistent performance of "exceeding expectations and raising guidance." He anticipates that the company's revenue for this quarter will exceed market expectations by approximately $3 billion, and the earnings guidance may be $4 billion higher than the market consensus. Morgan Stanley had already listed NVIDIA as a "preferred stock" in the semiconductor industry in March this year, believing it remains one of the biggest beneficiaries of the generative AI wave. The firm has also raised its performance forecasts for NVIDIA across multiple future quarters and the long term. Specifically, Morgan Stanley raised its revenue expectation for NVIDIA's April quarter from $78.25 billion to $79.26 billion, and its earnings per share expectation from $1.69 to $1.72. The revenue expectation for the July quarter was raised from $84.84 billion to $87.88 billion, and the earnings per share expectation was increased from $1.93 to $2.01. In terms of long-term forecasts, Morgan Stanley significantly raised its revenue forecast for NVIDIA's fiscal year 2027 from $353.8 billion to $380.59 billion, and its earnings per share forecast from $7.93 to $8.61. The forecast for fiscal year 2028 saw an even larger increase: the revenue forecast jumped from $452.4 billion to $587.45 billion, while the earnings per share expectation was significantly raised from $10.14 to $13.11. Moore particularly emphasized the importance of the Blackwell and Rubin AI platforms. He expects that the cumulative revenue from the Blackwell and Rubin product lines during the period from 2025 to 2027 could reach $1 trillion. After deducting approximately $30 billion in revenue from Hopper-related products in 2025, Morgan Stanley estimates that NVIDIA's data center business revenue will reach $845 billion from 2026 to 2027, and if other products are included, the overall scale will be even higher. In contrast, the current market consensus expects data center revenue during the same period to be around $785 billion, while Morgan Stanley's latest forecast reaches $884 billion. Based on a more optimistic long-term profit outlook, Morgan Stanley raised NVIDIA's target price from $260 to $285. This target price is based on a projected 22 times earnings multiple for 2027. As of Monday's early trading session, NVIDIA's stock price hovered around $220. However, Moore also pointed out that as the Rubin architecture begins mass production and supply chain costs rise, NVIDIA's gross margin may face some pressure in the future. He expects the company's gross margin for fiscal year 2028 to be around 72.7%, lower than the current level. At the same time, Moore believes that NVIDIA's current supply chain reserves remain quite sufficient. So far, the company has signed procurement commitments worth $95 billion and holds approximately $21 billion in inventory, which can basically cover most of the supply demand for the next 18 months. Additionally, investors will focus on NVIDIA's recently launched Groq products, independent CPU business, and the latest developments in the Vera Rubin product cycle during this earnings call Moore expects that the Vera Rubin Observatory is still on track to begin large-scale operations in the second half of this year ### Related Stocks - [NVDA.US](https://longbridge.com/en/quote/NVDA.US.md) - [XLK.US](https://longbridge.com/en/quote/XLK.US.md) - [SOXX.US](https://longbridge.com/en/quote/SOXX.US.md) - [SMH.US](https://longbridge.com/en/quote/SMH.US.md) - [NVDU.US](https://longbridge.com/en/quote/NVDU.US.md) - [NVDL.US](https://longbridge.com/en/quote/NVDL.US.md) - [NVDY.US](https://longbridge.com/en/quote/NVDY.US.md) - [SOXL.US](https://longbridge.com/en/quote/SOXL.US.md) - [HERO.US](https://longbridge.com/en/quote/HERO.US.md) - [NVDX.US](https://longbridge.com/en/quote/NVDX.US.md) - [GAMR.US](https://longbridge.com/en/quote/GAMR.US.md) - [ESPO.US](https://longbridge.com/en/quote/ESPO.US.md) - [07788.HK](https://longbridge.com/en/quote/07788.HK.md) - [07388.HK](https://longbridge.com/en/quote/07388.HK.md) - [NVDD.US](https://longbridge.com/en/quote/NVDD.US.md) - [NVDQ.US](https://longbridge.com/en/quote/NVDQ.US.md) ## Related News & Research - [Nvidia’s AI Lead Is Back in Focus as Wolfe Research Doubles Down](https://longbridge.com/en/news/286680544.md) - [Nvidia earnings on May 20 could sway AI market sentiment](https://longbridge.com/en/news/286642553.md) - [Nvidia Will Report Q1 Earnings on May 20 — Options Traders Expect an 8.65% Move in NVDA Stock](https://longbridge.com/en/news/286763191.md) - [Nvidia's $78 billion earnings test could reveal the real AI demand story](https://longbridge.com/en/news/286447895.md) - [$100 Invested In GraniteShares 2x Long NVDA Daily ETF 5 Years Ago Would Be Worth This Much Today](https://longbridge.com/en/news/286320411.md)