We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Nvidia (NVDA) Dips More Than Broader Markets: What You Should Know
Read MoreHide Full Article
In the latest trading session, Nvidia (NVDA - Free Report) closed at $306.57, marking a -0.48% move from the previous day. This change lagged the S&P 500's daily loss of 0.35%.
Prior to today's trading, shares of the maker of graphics chips for gaming and artificial intelligence had gained 48.85% over the past month. This has outpaced the Computer and Technology sector's gain of 8.33% and the S&P 500's gain of 7.11% in that time.
Wall Street will be looking for positivity from NVDA as it approaches its next earnings report date. This is expected to be November 17, 2021. In that report, analysts expect NVDA to post earnings of $1.11 per share. This would mark year-over-year growth of 52.05%. Meanwhile, our latest consensus estimate is calling for revenue of $6.83 billion, up 44.46% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.14 per share and revenue of $25.84 billion. These totals would mark changes of +65.6% and +54.96%, respectively, from last year.
Any recent changes to analyst estimates for NVDA should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. NVDA currently has a Zacks Rank of #2 (Buy).
In terms of valuation, NVDA is currently trading at a Forward P/E ratio of 74.47. This valuation marks a premium compared to its industry's average Forward P/E of 23.08.
We can also see that NVDA currently has a PEG ratio of 3.81. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor - General was holding an average PEG ratio of 3.21 at yesterday's closing price.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Nvidia (NVDA) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Nvidia (NVDA - Free Report) closed at $306.57, marking a -0.48% move from the previous day. This change lagged the S&P 500's daily loss of 0.35%.
Prior to today's trading, shares of the maker of graphics chips for gaming and artificial intelligence had gained 48.85% over the past month. This has outpaced the Computer and Technology sector's gain of 8.33% and the S&P 500's gain of 7.11% in that time.
Wall Street will be looking for positivity from NVDA as it approaches its next earnings report date. This is expected to be November 17, 2021. In that report, analysts expect NVDA to post earnings of $1.11 per share. This would mark year-over-year growth of 52.05%. Meanwhile, our latest consensus estimate is calling for revenue of $6.83 billion, up 44.46% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.14 per share and revenue of $25.84 billion. These totals would mark changes of +65.6% and +54.96%, respectively, from last year.
Any recent changes to analyst estimates for NVDA should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. NVDA currently has a Zacks Rank of #2 (Buy).
In terms of valuation, NVDA is currently trading at a Forward P/E ratio of 74.47. This valuation marks a premium compared to its industry's average Forward P/E of 23.08.
We can also see that NVDA currently has a PEG ratio of 3.81. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor - General was holding an average PEG ratio of 3.21 at yesterday's closing price.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.