Nvidia Stock Could Get Boost From $1.5 Trillion European AI Build-Out: Analyst Says 'Significant Upside In Shares'

NVIDIA Corporation NVDA showed off its AI market leadership and growing opportunities for sovereign AI at GTC Paris, an analyst said in a new investor note.

The NVDA Analyst: JPMorgan analyst Harlan Sur maintained an Overweight rating on Nvidia with a $170 price target.

The Analyst Takeaways: Sur said Nvidia has "strong AI infrastructure deployment" over the next several years.

"NVIDIA hosted its 2025 GTC Paris keynote to highlight the sovereign AI opportunities in Europe and the AI industrial revolution that is driving accelerating demand for NVIDIA's platforms and software solutions," Sur said.

The analyst said the keynote showed off Nvidia's leadership in the AI space and being a "one-stop solution provider."

"Sovereign AI represents an incremental revenue opportunity as countries build out their AI infrastructure for their domestic market requirements."

Sur said Nvidia expects to build out $1.5 trillion worth of AI infrastructure in the next several years, which is incremental spending on top of the U.S. cloud and hyperscaler sectors.

"Europe is an underserved market, but the region is stepping up its investments."

The event highlighted the fact that Nvidia is partnering with some European companies in the telecommunications, cloud, and neo-cloud spaces to accelerate AI expansion in the region.

"NVIDIA identifies significant opportunities in autonomous driving, robotics, AI factories, and base stations. The team believes that humanoid robotics could become one of the largest industries ever."

Nvidia recently announced the development of the first industrial AI cloud tailored for European manufacturers, Sur highlighted in the note.

The analyst said Nvidia will continue to execute across all its business segments, and strong growth is expected in the second half of the year.

"We anticipate significant upside in shares, driving our Overweight rating."

NVDA Price Action: Nvidia stock is up 0.9% to $144.69 versus a 52-week trading range of $86.63 to $153.13. Nvidia stock is up 4.6% year-to-date in 2025.

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