UPDATE: FBR Raises EPS Estimates and PT on NVIDIA to $20

A report from FBR reiterates its Market Perform rating, raises its price target from $19 to $20, and raises its FY12/13 EPS estimates from $1.03/$1 to $1.10/$1.10 on NVIDIA (NASDAQ: NVDA).

The report states, “NVIDIA reported solid 3Q11 results and provided respectable 4Q11 guidance (flat QOQ), better than most peers, with steady execution in core GPUs (+10% QOQ), and with its diversification into other businesses (Quadro, Tegra) now paying dividends. Indeed, NVIDIA printed 52% gross and 20% operating margins (including stock compensation) during a time of macro challenges, and while funding future growth initiatives in basebands."

NVDA closed yesterday at $14.47.