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Nvidia (NVDA) Dips More Than Broader Markets: What You Should Know
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Nvidia (NVDA - Free Report) closed the most recent trading day at $570.63, moving -3.69% from the previous trading session. This move lagged the S&P 500's daily loss of 1.04%.
Prior to today's trading, shares of the maker of graphics chips for gaming and artificial intelligence had gained 3.46% over the past month. This has lagged the Computer and Technology sector's gain of 3.67% and the S&P 500's gain of 3.83% in that time.
Investors will be hoping for strength from NVDA as it approaches its next earnings release, which is expected to be May 26, 2021. On that day, NVDA is projected to report earnings of $3.26 per share, which would represent year-over-year growth of 81.11%. Meanwhile, our latest consensus estimate is calling for revenue of $5.4 billion, up 75.33% from the prior-year quarter.
NVDA's full-year Zacks Consensus Estimates are calling for earnings of $13.56 per share and revenue of $22.49 billion. These results would represent year-over-year changes of +35.6% and +34.9%, respectively.
Investors might also notice recent changes to analyst estimates for NVDA. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 1.09% higher. NVDA is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that NVDA has a Forward P/E ratio of 43.69 right now. Its industry sports an average Forward P/E of 24.43, so we one might conclude that NVDA is trading at a premium comparatively.
Also, we should mention that NVDA has a PEG ratio of 2.9. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. NVDA's industry had an average PEG ratio of 2.73 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 211, which puts it in the bottom 17% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Nvidia (NVDA) Dips More Than Broader Markets: What You Should Know
Nvidia (NVDA - Free Report) closed the most recent trading day at $570.63, moving -3.69% from the previous trading session. This move lagged the S&P 500's daily loss of 1.04%.
Prior to today's trading, shares of the maker of graphics chips for gaming and artificial intelligence had gained 3.46% over the past month. This has lagged the Computer and Technology sector's gain of 3.67% and the S&P 500's gain of 3.83% in that time.
Investors will be hoping for strength from NVDA as it approaches its next earnings release, which is expected to be May 26, 2021. On that day, NVDA is projected to report earnings of $3.26 per share, which would represent year-over-year growth of 81.11%. Meanwhile, our latest consensus estimate is calling for revenue of $5.4 billion, up 75.33% from the prior-year quarter.
NVDA's full-year Zacks Consensus Estimates are calling for earnings of $13.56 per share and revenue of $22.49 billion. These results would represent year-over-year changes of +35.6% and +34.9%, respectively.
Investors might also notice recent changes to analyst estimates for NVDA. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 1.09% higher. NVDA is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that NVDA has a Forward P/E ratio of 43.69 right now. Its industry sports an average Forward P/E of 24.43, so we one might conclude that NVDA is trading at a premium comparatively.
Also, we should mention that NVDA has a PEG ratio of 2.9. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. NVDA's industry had an average PEG ratio of 2.73 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 211, which puts it in the bottom 17% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.