HSBC downgrades Nvidia to "Hold," cuts price target from $365 to $170.

BlockBeats news, November 13 - HSBC analyst Frank Lee downgraded Nvidia's rating from "Buy" to "Hold," and cut the target price from $365 to $170, implying only about 2.3% upside from Thursday's closing price. Lee believes the stock will remain under pressure until Nvidia clarifies a formal succession plan and the new CEO proves their execution capability. Currently, CFO Colette Kress is serving as interim CEO.

Lee also noted that the risk of further tightening of US chip export restrictions cannot be ignored. Over the past six quarters, about 11% of Nvidia's revenue came from markets outside the US and Taiwan, which HSBC believes could become a focus of tighter export restrictions. Under HSBC's bear case, if export restrictions cause Nvidia's FY2028 revenue to be 11% lower than the base case, earnings per share could fall to $13.57, about 13% below HSBC's base-case forecast of $15.65 and about 14% below the market consensus of $15.77.