Citi lifts Nvidia’s price target on booming sovereign AI demand

Citi (C) is multiplied by NVIDIA (NVDA), driven by what it considers a great expansion in the demand for Amnesty International’s infrastructure, especially from sovereign governments.

The company raised its target price on the chips maker to $ 190 per share, which means approximately 15 % of the current trading levels in NVIDIA. CITI analysts said they see NVIDIA captures more part of the TAM suspension of the data center’s infrastructure. The upgrade comes at a time when NVIDIA continues its fees towards the maximum market of 4 trillion dollars, as the shares increased by 12 % last month.

“We believe that the sovereign demand is already contributing billions of dollars in 2025” and must increase in 2026. The note said that NVIDIA is involved in “every sovereign deal”, making the central company for the global race to build the national infrastructure of Amnesty International.

The company raised the estimation of TAM for 2028 to 563 billion dollars, an increase of 13 % from 500 billion dollars, and TAM networks to $ 119 billion, up from 90 billion dollars, and expected to increase the sharp sales in NVIDIA.

CITI noticed that at the last NVIDIA conference of artificial intelligence, the participants discussed a possible criterion for Amnesty International’s infrastructure: one of the supercodes or 10,000 graphics processing units per 100,000 employees, a percentage that can push huge institutions and government institutions.

NVIDIA, which is witnessing the Blackwell GB200 company that operates many of these AI groups, is already witnessing the acceleration of publishing, according to City. Fears of potential bottlenecks in the NVIDIA supply chain also eased, with CITI reports that building shelf takes place at a “rapid pace”. While the company is preparing for the next generation GB300, analysts expect a smooth transition, due to lessons from previous platform bouts.

CITI now expects NVIDIA data center revenue to grow by 5 % in the fiscal year 2027 and 11 % in the fiscal year 2028. It is expected that network sales will increase by 12 % and 27 %, respectively. This is a 20 % attachment rate, indicating a high demand for high -performance systems linking large groups of artificial intelligence. The total margin is also expected to continue to expand, normalize in the mid -70 % range by the end of the year.

However, the bank reported negative risks, including renewable export restrictions under a possible Trump administration. Bloomberg recently reported that Malaysia and Thailand may face checks for suspected shipments to China.

Currently, though, AI Gold Rush does not appear – especially from public sector buyers – no signs of slowdown.

“NVIDIA has a great line for dozens of Gigawatts of Sovereign and Enterprise Ai Factory over the next few years,” Malik Wasila wrote.