Nvidia named top AI pick by Morgan Stanley, stock expected to surge.

Morgan Stanley has raised its price target on Nvidia to $500 and named it its "top pick" due to increased demand for its AI chips since the company's blockbuster earnings report last month. Analysts predict Nvidia will be the only company to beat estimates and raise its guidance this year. The chipmaker's AI chipsets are driving the technology behind OpenAI's ChatGPT and Alphabet's Bard chatbots. Morgan Stanley sees "higher capital intensity" through the next several years as investment shifts away from traditional server infrastructure and toward AI infrastructure.