Concerns Factored Into Current Expectations, See 22% Upside in NVIDIA Corp. (NVDA)

After facing several negative news items like supply constraints, Advanced Micro Devices (NYSE:AMD) competition, NVDA Fermi launch uncertainty and NVDA chipset business uncertainty; NVIDIA Corp. (NASDAQ: NVDA) is set to gain from the improving PC mix and potential enterprise recovery.

Nvidia’s core PSB Quadro product for the auto industry (which is witnessing recovery) is expected to grow by 11% for 2011 and will contribute to improved margins.

With an EPS estimate of $0.77, Kaufmann Bros. has upgraded Nvidia Corp. to ‘Buy’ from ‘Hold’ with a price target revision to $22 from $14.