Investing.com – Nvidia (NASDAQ:) will benefit from a “wave” of demand for artificial intelligence assistants designed to process and perform specific business tasks, according to Citi analysts.
In a note to clients on Wednesday raising their target price for Nvidia shares from $126 to $150, analysts said they expect so-called artificial intelligence “agents” to one day account for just under half of sales at Nvidia’s key data center division.
These experimental systems run on programs like OpenAI’s ChatGPT-4 or similar models, and can learn from a given set of data, make independent decisions, and—when prompted—take action autonomously.
Citi analysts said these agents have the potential to “scale enterprise productivity” and, at full strength, could become a huge cost driver for companies.
“Although AI agents have not yet reached a level where they can be fully relied upon, in some cases they are already superior to humans in understanding what to do in practice,” the analysts write.
Nvidia, already known as a maker of AI-optimized chips that have sparked a boom in enthusiasm for the nascent technology, is aiming to generate more revenue from its Search Advanced Generation, or RAG, platform. analysts said. They argued that RAG’s offering, which is part of Nvidia’s AI Enterprise segment, could provide the foundation for building artificial intelligence agents.
Elsewhere, analysts increased their consensus for Nvidia’s earnings per share in calendar 2025 and 2026, citing optimism about the semiconductor giant’s plans for the next generation of Blackwell AI GPUs. The first chip, GB200, should appear later this year.