HSBC thinks Nvidia still has more room to run. Analyst Frank Lee raised his target price on the stock to $780 from $600. Lee’s forecast implies more than 80% upside from Friday’s $432.99 close. He also reiterated a buy rating on the semiconductor company. Nvidia has been the stock to watch all year, gaining more than 196% thanks to excitement around artificial intelligence. Lee thinks that trend will carry on. NVDA YTD mountain NVDA shares year to date “Although market expectations have clearly risen for Nvidia and the overall AI supply chain, we expect bullish AI server momentum continued to surpass market expectations,” he said in a note. “We continue to see strong demand that continues to outpace supply, especially with regard to AI GPU shipments.” The company will report second-quarter results Wednesday after the bell. Lee thinks Nvidia will once again beat Wall Street expectations. He also sees strong “Despite significant FY2Q24 guidance beat last quarter and significant upward revision in consensus earnings, we see Nvidia likely to once again beat its previous guidance as our FY2Q24e sales of USD12bn is now +9% ahead of consensus estimate and company guidance of USD11bn mainly due to more bullish datacentre forecast of USD8.8bn vs consensus estimate of USD7.8bn,” he said. Elsewhere, Baird analyst Tristan Gerra named Nvidia a top pick in a Sunday note. The analyst noted that with AI momentum running at full speed, Nvidia remains the force to be reckoned with and will continue to benefit from higher demand. — CNBC’s Michael Bloom contributed to this report.