1. Nvidia is downgraded from Strong Buy to Buy due to AI infrastructure slowdown, margin pressures, and rising competition; 2. Despite strong Q1 results (33% EPS growth, 69% YoY revenue increase), future growth may decelerate as hyperscalers approach capacity limits; 3. 2025 price target revised down to $165 (from $180), reflecting reduced expectations for revenue and margin expansion.

1. Nvidia's Q1 2026 earnings demonstrated robust growth, particularly in data centers with 69% YoY sales increase; 2. Despite margin pressures from U.S. export restrictions and a $4.5B inventory impairment, the company maintained strong profitability; 3. Surging AI infrastructure investments are expected to drive multi-year growth, supported by Nvidia's attractive valuation at 24x 2026 profits and a Strong Buy rating.