Nvidia stock price forecast for 2040: Long-horizon outlook builds near $1,200 amid AI leadership

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Nvidia stock price outlook

Highlights

Price is probing if the $178 to $180 area can hold as support after the latest drop.
RSI is trading in the mid 30 to high 30, indicating weakening momentum after the correction.
New resistance is building in the $182 to $184 zone, while underlying support is at the $175 area.

As artificial intelligence continues to penetrate different sectors of the world's industries, the demand for high-performance chips will rise steadily in the coming decades. This provides a basis for a long horizon in which Nvidia will continue to strengthen its position in the world's artificial intelligence systems.

Currently, Nvidia stock is trading at levels where it is interacting with a number of major moving averages on the intraday chart. The 20-period EMA is currently trading at levels around $181.23, while the 50-period EMA is trading at levels around $182.28. These levels are above the stock price and are acting as resistance levels for Nvidia stock in its attempts to stabilize.

Above the stock price, Nvidia stock is currently interacting with levels of major moving averages such as the 100-period EMA, which is currently trading at levels around $182.78, and the 200-period EMA, which is trading at levels around $183.05.

Over the last few weeks, Nvidia stock has been in a consolidation phase after experiencing a move from a rebound to a cooling phase. Earlier in the week, Nvidia stock was seen rising to levels around $186 before gradually losing momentum and experiencing a decline in price, which accelerated after it broke levels around $182 and declined to levels around $178 and $180.

Nvidia price dynamics (Source: TradingView)

After the earlier rebound, momentum has cooled, as seen by the RSI's current position between 34 and 38. Following a decline, markets frequently enter a consolidation phase when the RSI moves toward the lower mid-range as investors consider their next course of action.

Artificial intelligence expansion could shape Nvidia’s valuation toward 2040

Nvidia has been identified as one of the most prominent semiconductor companies in the world, especially in the field of artificial intelligence processors, accelerated computing, and data center infrastructure. Nvidia GPUs have been at the core of training large AI models, cloud computing, and high-performance computing.

Considering Nvidia stock valuation up to 2040, the future of Nvidia can be seen to depend on the extent to which artificial intelligence penetrates the global economy. AI is likely to become a core part of various industries, including robotics, driverless cars, healthcare, digital twins, and industrial automation.

If Nvidia continues to dominate in the field of AI hardware and software, the stock valuation may increase in the coming years. In a moderate scenario, if AI growth is moderate, Nvidia stock may reach $900 to $1,200 in 2040, considering that data center and AI infrastructure investment may increase in the coming years.

However, if AI dominance is at its peak and Nvidia continues to dominate AI accelerators and large-scale computing clusters, Nvidia stock may reach $1,500 in 2040, considering that Nvidia may continue to enjoy higher profit margins in the high-performance chip market.

Key levels to watch as consolidation develops

If Nvidia can hold up above this $178 support region, the stock may be able to make another push up towards this resistance region of $182 to $184. A breakout above this region would mean that the stock is seeing increased buying pressure, and we may see this stock make its way back up towards the $188 level.

If we look at the downside, we can see that if this stock breaks below this $175 level, the current structure would be compromised, and we may see this stock make its way down towards this next support level around $170.

While the short-term movements of Nvidia are linked to the semiconductor sector cycle, its long-term prospects until 2040 are linked to the expansion of artificial intelligence computing infrastructure.

In our previous analysis of Nvidia, we observed that the $178 to $180 region had begun acting as a structural support level after the stock retreated from the $186 mark. Holding above this zone helps maintain the broader consolidation structure and suggests the recent sideways movement may represent a pause rather than the beginning of a deeper decline.

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