Citi recommended investors add positions in Nvidia ahead of anticipated second-half 2026 outperformance, citing strong product momentum and improving demand visibility extending into 2027. Analyst Atif Malik expects the company to report January-quarter revenue of $67 billion, surpassing the Street estimate of $65.6 billion, with guidance for April-quarter sales of $73 billion versus consensus at $71.6 billion.

The bank forecasts a 34% half-over-half acceleration in calendar year 2026 second-half sales compared to 27% in the first half, driven by continued ramp of the B300 and Rubin platforms. Investors are focused on Nvidia's upcoming GTC conference in mid-March, where the company is expected to outline its inference roadmap using Groq's low-latency SRAM IP and provide early outlook for 2026/27 AI sales.

Citi maintained its Buy rating and $270 target price on Nvidia, with expectations of fiscal 2027 gross margins at approximately 75% and operating expense growth in the high-30% range. The bank argued that despite concerns about rising hyperscaler capital spending, these investments will deliver long-term returns as AI-driven infrastructure demand accelerates cloud-revenue growth.