Markets NVDA -0.33% AUG 15, 2026

BofA sees NVDA printing $94–95B on Aug. 26, calling Vera Rubin a multi-quarter upgrade cycle

Analyst Vivek Arya's $350 target implies 56% upside, with the stock at 16x forward earnings — its lowest multiple in roughly a decade.

BY HENLEY MARRAST · MARKETS DESK

Bank of America’s Vivek Arya is modeling $94 billion to $95 billion in revenue for NVIDIA’s fiscal Q2 FY2027 print on August 26, roughly $3 billion to $4 billion above the company’s own $91 billion guide. His $350 price target, published in an August 7 note when the stock traded at $223.96, implies about 56% upside. The kicker is the multiple: NVDA now trades at about 16 times forward earnings, its lowest forward P/E in roughly a decade.

That compression is the story. NVIDIA closed fiscal 2026 with $215.9 billion in revenue, up 65%, and a Q4 print of $68.1 billion released February 25. Q1 FY2027 came in at $81.6 billion, up 85% year over year, with data center revenue of $75.2 billion (up 92%) and non-GAAP EPS of $1.87 beating consensus by 5.42%. The fundamentals accelerated; the multiple contracted.

Arya’s thesis rests on hardware cadence. “The commencement of Vera Rubin next-generation chip deliveries marks the beginning of an extended upgrade cycle spanning multiple quarters,” he wrote. NVIDIA confirmed at GTC Taipei in June that the Vera Rubin platform, pairing Rubin GPUs with the Vera CPU, has entered full production, with cloud availability at AWS, Google Cloud, Microsoft and Oracle targeted for the second half of 2026. OpenAI, Anthropic and SpaceX are named customers. The company is scoping 2-gigawatt deployments.

Spot pricing supports the demand read. B200 GPUs are renting near $5.66 per hour, H100s at $2.80, A100s at $1.64, all close to all-time highs.

Then there’s the balance-sheet posture. NVIDIA holds roughly $70 billion in direct equity stakes, including $30 billion in OpenAI, up to $10 billion in Anthropic, and $5 billion in Safe Superintelligence, plus a $250 billion backstop tied to the OpenAI/SB Energy campus in Ohio. Against an estimated $470 billion in free cash flow across 2026 and 2027, the stakes absorb about 15%, leaving roughly half of FCF available for shareholder returns.

Marvell reports August 27, Broadcom on September 2. The sequencing means Arya’s call gets tested twice more within a week. A 16x multiple already assumes the cycle disappoints. Vera Rubin is the argument that it doesn’t.

Sources

About the author

Henley Marrast

MARKETS DESK

Henley Marrast covers AI-equity flow, accelerator demand, and earnings prints for AI Sheet Report. She leads coverage of the public AI complex from the New York markets desk, with a focus on the daily tape and quarterly results. She has been writing about technology markets for several years.