Who cares if NVIDIA Corp.’s (NVDA) stock is already up 88% this year. There’s more room for the rally to continue, thanks to cryptocurrency and PC gaming.

That’s the takeaway from Mizuho USA, which over the weekend hiked its price target on the graphics chip manufacturer to $220 from $180 a share. With the stock currently trading at $197.92 Mizuho analyst Vijay Rakesh thinks shares can appreciate 12%. That’s on top of the 88% gain in NVDA so far in 2017. Mizuho isn’t the first to get even more bullish on the chipmaker’s prospects, and is likely not the last. But while many on Wall Street are betting on the company’s prowess in artificial intelligence and the data center, Mizuho sees cryptocurrency and its core gaming business as key drivers. (See also: Goldman Gets Even More Bullish on NVIDIA.)

In a research note to clients, Rakesh said shares of Santa Clara, Calif.-based NVIDIA will continue to benefit from “strong underlying trends in cryptocurrency and gaming” that are ahead of even the company’s expectations. And that comes even as graphics processing units (GPU) pricing remains stable. “We believe NVDA continues to see strong GPU trends in cryptocurrency and gaming. GPU pricing remains up post-launch (of its new graphics chip) given shortage and strong demand,” wrote the analyst.

A Bitcoin Boom

Ever since bitcoin and other cryptocurrencies blasted onto the scene, NVIDIA and rival Advanced Micro Devices Inc. (AMD) have benefited from an increase in demand for their graphics processors. Mining these digital coins require a high-end graphics cards, and thus have created strong sales for both semiconductor companies. While cryptocurrencies have gotten a lot of bad press in recent weeks, with China banning cryptocurrency exchanges and JPMorgan Chief Executive Jamie Dimon calling bitcoin a “fraud,” the price has continued to skyrocket, recently hitting an all-time high of $5,800. That ascent is drawing more miners, which means more sales for the likes of NVIDIA. (See more: Two Factors Influencing Bitcoin's Price Right Now.)

Mizuho's Rakesh said that after a recent Asia trip, GPU and motherboard original equipment manufacturers said September quarter shipments were up 50% compared to past expectations for shipments that were flat quarter over quarter. The OEMs also said there is nearly no GPU inventory in the channel. “GPU pricing has been trending up for much of the quarter and should be another tailwind,” the analyst noted. “Peers AMD and INTC expect to report Oct 24 and 26 which should be positive precursors for NVDA.” NVIDIA is slated to report September-quarter earnings on Nov. 9. Mizuho has a buy rating on the stock.


Want to learn how to invest?

Get a free 10 week email series that will teach you how to start investing.

Delivered twice a week, straight to your inbox.