HSBC cuts Nvidia to hold, sets $170 price target

HSBC downgraded Nvidia's stock rating from "buy" to "hold" and slashed its price target to $170 from $365, citing uncertainty following Jensen Huang's departure as CEO. Analyst Frank Lee warned that uncertainty will persist until a permanent CEO is appointed and demonstrates execution capability. He also noted export restrictions could reduce Nvidia's earnings per share for fiscal year 2028 by 13%. The potential EPS impact stems from 11% of Nvidia's revenue over the last six quarters coming from countries outside the US and Taiwan that may face export limits. HSBC's base case EPS is $15.65, but could fall to $13.57.