{"id":49148,"date":"2026-05-07T11:35:13","date_gmt":"2026-05-07T11:35:13","guid":{"rendered":"https:\/\/quickassetsmarket.com\/index.php\/2026\/05\/07\/nvidia-stock-hits-key-level-after-corning-bet-but-why-are-analysts-divided\/"},"modified":"2026-05-07T11:35:13","modified_gmt":"2026-05-07T11:35:13","slug":"nvidia-stock-hits-key-level-after-corning-bet-but-why-are-analysts-divided","status":"publish","type":"post","link":"https:\/\/quickassetsmarket.com\/index.php\/2026\/05\/07\/nvidia-stock-hits-key-level-after-corning-bet-but-why-are-analysts-divided\/","title":{"rendered":"Nvidia stock hits key level after Corning bet, but why are analysts divided?"},"content":{"rendered":"
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Nvidia stock (NASDAQ: NVDA) rose about 5.8% on Wednesday after the company unveiled a $500 million partnership with Corning to expand US optical connectivity manufacturing for AI data centers.<\/p>\n

The development also pushed Corning stock 20% in premarket trading<\/a>.<\/p>\n

The market clearly liked the strategy as this was not just a supply deal, but a signal that AI spending is moving deeper into the infrastructure stack. <\/p>\n

Still, the reaction also exposed the central tension in the trade as bulls see a bigger AI buildout story, while skeptics see a stock that has already run a long way.<\/p>\n

Nvidia-Corning partnership: What the deal actually does<\/h2>\n

The mechanics are straightforward as Nvidia is set to receive a pre-funded warrant to buy 3 million Corning shares at $0.0001 apiece. <\/p>\n

Moreover, the chip giant will also get the right to buy as many as 15 million more shares at $180 each, for a total potential investment of $500 million.<\/p>\n

In return, Corning said it will expand US optical connectivity capacity tenfold, lift domestic fiber production by more than 50%, and build three new manufacturing plants in North Carolina and Texas, with more than 3,000 jobs expected. <\/p>\n

Put simply, Nvidia is not just buying components here; it is buying a seat at the table in the AI supply chain.<\/p>\n

Why the bulls are charging<\/h2>\n

Jensen Huang framed the deal as part of something larger, saying AI is driving \u201cthe largest infrastructure buildout of our time\u201d and creating a \u201conce-in-a-generation opportunity\u201d to revive manufacturing and supply chains. <\/p>\n

Corning backed that optimism with a bigger growth plan of its own, lifting its long-term sales outlook to a $20 billion annualized run rate by the end of 2026, $30 billion by the end of 2028, and $40 billion by the end of 2030.<\/p>\n

That helps explain why Wolfe Research raised its Corning price target to $230 from $185 and kept an Outperform rating. <\/p>\n

Wall Street\u2019s optimism was not limited to Corning. Goldman Sachs maintained its Buy rating on Nvidia and reiterated a $250 price target based on a 30x price-to-earnings multiple.<\/p>\n

Nvidia\u2019s own Street view also remains firmly upbeat, with Investing.com showing a Strong Buy consensus and an average target of $269.17.<\/p>\n

Nvidia stock: The caution flag<\/h2>\n

The caution argument starts with valuation as Corning is now trading at nearly 99 times trailing earnings, with a forward P\/E still above 53, a demanding price for a manufacturer that still has exposure to slower-moving industrial segments. <\/p>\n

Corning\u2019s second-quarter revenue forecast came in below Wall Street expectations, even as AI-related demand remained strong, underscoring how much enthusiasm is already embedded in the share price.<\/p>\n

Technicians are also watching the $200 area as the next resistance zone, while RSI around 52.6 points to neutral momentum rather than an overbought blowoff.<\/p>\n

Dilution is not the main risk, but it is worth keeping in mind. <\/p>\n

If Nvidia exercises the full 18 million shares, that would amount to just over 2.1% of Corning\u2019s 860.6 million shares outstanding.<\/p>\n

The post Nvidia stock hits key level after Corning bet, but why are analysts divided?<\/a> appeared first on Invezz<\/a><\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

Nvidia stock (NASDAQ: NVDA) rose about 5.8% on Wednesday after the company unveiled a $500 million partnership with Corning to expand US optical connectivity manufacturing for AI data centers. The development also pushed Corning stock 20% in premarket trading. The market clearly liked the strategy as this was not just a supply deal, but a <\/p>\n","protected":false},"author":1,"featured_media":49149,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":{"0":"post-49148","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-investing"},"_links":{"self":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/49148","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/comments?post=49148"}],"version-history":[{"count":0,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/49148\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media\/49149"}],"wp:attachment":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media?parent=49148"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/categories?post=49148"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/tags?post=49148"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}