11:01 AM EST, 11/20/2025 (MT Newswires) -- Nvidia ( NVDA ) remains a top pick in the semiconductor sector as demand for its artificial intelligence chips and Blackwell sales rise, BofA Securities said in a Wednesday note.

The analysts said the company said sales for its new Blackwell chips are "off the charts," with an opportunity to surpass $500 billion in demand across calendar years 2025 and 2026. Nvidia ( NVDA ) also noted that cloud graphics processing units, or GPUs, are sold out, including the six-year-old Ampere generation, showing high utilization and easing fears of industry overbuilding.

BofA increased its earnings forecasts for fiscal years 2027 and 2028 by 5% to 6%, now expecting $7.40 and $9.70 per share, with potential upside if all orders materialize into sales.

Looking further ahead, the analysts believe Nvidia ( NVDA ) could deliver more than $20 per share in earnings by calendar year 2030 under its base-case estimate of $1.2 trillion in total AI capital spending, assuming Nvidia ( NVDA ) maintains a roughly 75% market share. If AI capital spending reaches $3 trillion to $4 trillion, earnings power could rise toward $40 per share.

BofA reiterated its buy rating and $275 price target on Nvidia ( NVDA ). The company's shares rose 3% in recent trading.

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