The AI arms race gives Nvidia 13% upside as the chipmaker looks poised to lead the nascent sector, Bank of America says

• Bank of America said Nvidia stock is positioned to lead the artificial intelligence arms race.
• The bank raised its price objective for Nvidia to $255 from $215. 
• "NVDA's full-stack of accelerated silicon/systems/software/developers positions it uniquely to lead the nascent generative AI arms-race among global cloud and enterprise customers."

Bank of America strategists see long-term growth potential for Nvidia as it looks poised to emerge as a leader in the budding artificial-intelligence arms race. 

The firm raised its price objective for Nvidia stock to $255 from $215 on Monday, implying potential upside of 13% from current levels.