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Nvidia and Matthews have been highlighted as Zacks Bull and Bear of the Day
Read MoreHide Full Article
For Immediate Release
Chicago, IL – March 23, 2026 – Zacks Equity Research shares Nvidia (NVDA - Free Report) as the Bull of the Day and Matthews International (MATW - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on TechnipFMC plc (FTI - Free Report) , Weatherford International plc (WFRD - Free Report) and Nabors Industries Ltd. (NBR - Free Report) .
A familiar name found its way back onto the Zacks Rank today, as analysts once again raise the earnings outlook for AI semiconductor juggernaut Nvidia. At its most recent Nvidia GTC conference, CEO Jensen Huang was not coy about how large he believes the company can grow, sharing a forecast of $1 trillion in AI chip sales by the end of 2027.
Nvidia has been growing at an almost unfathomable pace since the AI boom began, and it has managed to maintain that trajectory even at its mammoth $4.4 trillion market capitalization. However, despite this continued momentum in its core business, NVDA stock has been stagnant for nearly eight months, essentially unchanged over that period.
Concerns around overvaluation and excessive capital expenditures, with uncertain returns from hyperscalers, have weighed on the mega-cap technology and Magnificent Seven cohort. I am taking the over on these concerns, as every metric I follow shows that not only is new data center capacity for leading-edge AI models being filled, but it is being oversubscribed.
Leading cloud providers Alphabet, Microsoft, and Amazon, as well as newcomer Oracle, are all seeing accelerating growth in these segments, with Oracle boasting an astounding $500 billion in future contracted revenue. Furthermore, if you are using LLMs such as OpenAI or Claude, you will often encounter recommended usage times, reflecting how stretched server capacity has become.
All of this is to say that Nvidia remains one of the most advantageously positioned players in the AI industry, and that Jensen’s forecast could very well come to fruition. At the same time, due to the stock’s stagnation, Nvidia’s earnings multiple has contracted to a notably low level. Below, I break down the opportunity.
Earnings Upgrades as a Stock Price Catalyst
Analysts have been steadily upgrading their outlook for Nvidia’s earnings, with revisions nearly unanimous over the past 60 days and continuing as recently as the last week. Based on this trend, Nvidia carries a Zacks Rank #1 (Strong Buy). Long-term Zacks readers may recall that in early 2023, Nvidia sat atop the Zacks Rank for nearly two years, as Zacks proprietary methodology successfully anticipated the stock’s incredible run. In that context, this upgrade cycle could mark the beginning of another significant move higher.
The technicals paint a fairly straightforward picture for investors to watch. In the price chart below, NVDA has formed a clear consolidation pattern and is currently resting at support. Time will tell whether this level holds, though just below it sits another key level, the prior all-time highs, which could offer an additional buying area.
That said, whether the chart ultimately resolves higher or lower in the near term is less important to the long-term thesis. Unless the AI boom collapses entirely, Nvidia’s discounted valuation remains the most compelling aspect of the investment case, as detailed below.
Nvidia Shares Trade at their Lowest Multiple in Years
Today, Nvidia shares trade at 23.7x forward earnings, near their lowest level in a decade and well below the 10-year median multiple of 45.3x. At this valuation, investors are effectively buying the company at a market-like multiple, but with earnings growth more than three times that of the broader index and sales growth more than five times higher.
Nvidia is projected to grow earnings at an annual rate of 39.1% over the next three to five years, while sales are expected to increase 63% this year and 27.5% next year. These figures suggest the stock is trading at a discount relative to its growth profile. The numbers speak for themselves, if the AI buildout continues as expected, this setup appears highly compelling.
Should Investors Buy Shares in NVDA?
Nvidia remains the central beneficiary of one of the most powerful investment themes in decades. Despite continued strength in its underlying business, the stock has gone nowhere for months, allowing valuation to reset to historically attractive levels. At the same time, earnings revisions are moving higher and demand for AI infrastructure continues to exceed supply.
While near-term volatility is always possible, the combination of strong fundamentals, improving sentiment, and a compressed multiple creates a favorable risk-reward setup. For investors with a medium- to long-term horizon, Nvidia still looks like one of the most compelling opportunities in the market today.
Matthews International is a provider of memorialization products, industrial technologies, and brand solutions. Its Memorialization segment offers products such as memorials, caskets, cremation-related items, and cremation and incineration equipment. The Industrial Technologies segment designs, manufactures, and services high-tech energy storage solutions, product identification systems, and warehouse automation technologies. Meanwhile, its SGK Brand Solutions segment provides packaging solutions and brand experience services. The company is based in Pittsburgh.
The stock has struggled in recent years as annual sales growth has deteriorated sharply. Revenue peaked in 2023 and has declined roughly 28% since then, reflecting both weaker demand and operational headwinds. Year to date, shares are down 8.1%, as analysts continue to revise earnings estimates lower.
Further compounding the downside risk, MATW trades at a premium valuation relative to its current growth profile. With both earnings momentum and price action trending lower, Matthews International appears to lack a clear near-term catalyst. Until there is a material improvement in business fundamentals, this is a stock investors may want to avoid.
Matthews International Stock Declines on Downgrades
Matthews International has seen sharp downgrades to its earnings outlook, with analysts cutting current-quarter estimates by more than 50% and fiscal 2026 estimates by nearly 30%. As a result, MATW currently carries a Zacks Rank #5 (Strong Sell).
Sales are expected to decline another 25% this year, and while estimates stabilize somewhat beyond that, analysts forecast only a modest 0.5% decline in 2027, which is hardly indicative of a meaningful recovery.
The broader industry backdrop offers little support. The Zacks Industry Rank for Funeral Services currently sits in the bottom 3% (236 out of 244), suggesting continued headwinds at the sector level.
Despite Slowing Growth MATW Shares Trade at a Premium
Despite a weakening fundamental outlook, Matthews International currently trades at 30.6x forward earnings, its highest multiple in roughly a decade. Part of this is mechanical, as sharply lower earnings estimates inflate the multiple, but even on a normalized basis, the stock remains elevated at around 25x forward earnings.
There is little justification for this premium given the company’s declining sales, negative earnings revisions, and lack of clear growth drivers. As a result, the valuation leaves the stock vulnerable to further downside, particularly if investors continue to reprice shares in line with the deteriorating outlook.
Should Investors Avoid MATW Stock?
Matthews International presents a challenging setup, with weakening fundamentals, persistent estimate cuts, and a stretched valuation. Unlike situations where a discounted multiple can offset near-term headwinds, MATW offers little margin of safety, increasing the risk of continued underperformance.
Until earnings revisions stabilize and the company demonstrates a credible path back to growth, the risk-reward profile remains unfavorable. For now, investors may be better served focusing on stronger opportunities elsewhere in the market.
Additional content:
Make the Most of High Oil Prices with These Stocks
Oil has already taken the top spot in the stock market, as the world watches high commodity prices and their deterring effect on economies. In the meantime, investors willing to capitalize on the business environment could keep a close watch on leading energy names like TechnipFMC plc, Weatherford International plc and Nabors Industries Ltd.
Oil Price to Remain High
The price of West Texas Intermediate (WTI) crude is trading at more than $90 per barrel, according to data from oilprice.com, owing to the ongoing war in the Middle East. Also, in its latest short-term energy outlook, the U.S. Energy Information Administration mentioned its expectation for the WTI oil price this year at $73.61 per barrel, higher than $65.40 last year.
Thus, the present crude pricing environment is highly favorable for exploration and production activities. This will increase the demand for drilling rigs and oil field services.
3 Stocks in the Spotlight: FTI, WFRD & NBR
TechnipFMC
With oil prices back to their glory days, TechnipFMC is gaining. This is because FTI is well-known for providing equipment and services to upstream companies. The company ended 2025 with a total backlog of $16.6 billion, a significant improvement over the prior year. Thus, with a strong backlog and a favorable commodity pricing environment, FTI, sporting a Zacks Rank #1 at present, is well-positioned to benefit.
Weatherford International
Like FTI, Weatherford International will capitalize on healthy oil prices. This is because WFRD aided upstream players to run their operations more smoothly and efficiently in a cost-efficient manner. Thus, the company, flaunting a Zacks Rank of 1, will continue to generate handsome cash flows for shareholders since oil prices are lucrative.
Nabors Industries
Nabors Industries is also well-positioned to benefit from rising oil prices because NBR offers high-specification rigs and is mainly known for providing rig technologies and drilling solutions. With high oil prices, there will probably be a surge in upstream operations, which, in turn, will lead to increased drilling operations, thereby aiding the bottom line of NBR, currently carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index.Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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Nvidia and Matthews have been highlighted as Zacks Bull and Bear of the Day
For Immediate Release
Chicago, IL – March 23, 2026 – Zacks Equity Research shares Nvidia (NVDA - Free Report) as the Bull of the Day and Matthews International (MATW - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on TechnipFMC plc (FTI - Free Report) , Weatherford International plc (WFRD - Free Report) and Nabors Industries Ltd. (NBR - Free Report) .
Here is a synopsis of all five stocks.
Bull of the Day:
A familiar name found its way back onto the Zacks Rank today, as analysts once again raise the earnings outlook for AI semiconductor juggernaut Nvidia. At its most recent Nvidia GTC conference, CEO Jensen Huang was not coy about how large he believes the company can grow, sharing a forecast of $1 trillion in AI chip sales by the end of 2027.
Nvidia has been growing at an almost unfathomable pace since the AI boom began, and it has managed to maintain that trajectory even at its mammoth $4.4 trillion market capitalization. However, despite this continued momentum in its core business, NVDA stock has been stagnant for nearly eight months, essentially unchanged over that period.
Concerns around overvaluation and excessive capital expenditures, with uncertain returns from hyperscalers, have weighed on the mega-cap technology and Magnificent Seven cohort. I am taking the over on these concerns, as every metric I follow shows that not only is new data center capacity for leading-edge AI models being filled, but it is being oversubscribed.
Leading cloud providers Alphabet, Microsoft, and Amazon, as well as newcomer Oracle, are all seeing accelerating growth in these segments, with Oracle boasting an astounding $500 billion in future contracted revenue. Furthermore, if you are using LLMs such as OpenAI or Claude, you will often encounter recommended usage times, reflecting how stretched server capacity has become.
All of this is to say that Nvidia remains one of the most advantageously positioned players in the AI industry, and that Jensen’s forecast could very well come to fruition. At the same time, due to the stock’s stagnation, Nvidia’s earnings multiple has contracted to a notably low level. Below, I break down the opportunity.
Earnings Upgrades as a Stock Price Catalyst
Analysts have been steadily upgrading their outlook for Nvidia’s earnings, with revisions nearly unanimous over the past 60 days and continuing as recently as the last week. Based on this trend, Nvidia carries a Zacks Rank #1 (Strong Buy). Long-term Zacks readers may recall that in early 2023, Nvidia sat atop the Zacks Rank for nearly two years, as Zacks proprietary methodology successfully anticipated the stock’s incredible run. In that context, this upgrade cycle could mark the beginning of another significant move higher.
The technicals paint a fairly straightforward picture for investors to watch. In the price chart below, NVDA has formed a clear consolidation pattern and is currently resting at support. Time will tell whether this level holds, though just below it sits another key level, the prior all-time highs, which could offer an additional buying area.
That said, whether the chart ultimately resolves higher or lower in the near term is less important to the long-term thesis. Unless the AI boom collapses entirely, Nvidia’s discounted valuation remains the most compelling aspect of the investment case, as detailed below.
Nvidia Shares Trade at their Lowest Multiple in Years
Today, Nvidia shares trade at 23.7x forward earnings, near their lowest level in a decade and well below the 10-year median multiple of 45.3x. At this valuation, investors are effectively buying the company at a market-like multiple, but with earnings growth more than three times that of the broader index and sales growth more than five times higher.
Nvidia is projected to grow earnings at an annual rate of 39.1% over the next three to five years, while sales are expected to increase 63% this year and 27.5% next year. These figures suggest the stock is trading at a discount relative to its growth profile. The numbers speak for themselves, if the AI buildout continues as expected, this setup appears highly compelling.
Should Investors Buy Shares in NVDA?
Nvidia remains the central beneficiary of one of the most powerful investment themes in decades. Despite continued strength in its underlying business, the stock has gone nowhere for months, allowing valuation to reset to historically attractive levels. At the same time, earnings revisions are moving higher and demand for AI infrastructure continues to exceed supply.
While near-term volatility is always possible, the combination of strong fundamentals, improving sentiment, and a compressed multiple creates a favorable risk-reward setup. For investors with a medium- to long-term horizon, Nvidia still looks like one of the most compelling opportunities in the market today.
Bear of the Day:
Matthews International is a provider of memorialization products, industrial technologies, and brand solutions. Its Memorialization segment offers products such as memorials, caskets, cremation-related items, and cremation and incineration equipment. The Industrial Technologies segment designs, manufactures, and services high-tech energy storage solutions, product identification systems, and warehouse automation technologies. Meanwhile, its SGK Brand Solutions segment provides packaging solutions and brand experience services. The company is based in Pittsburgh.
The stock has struggled in recent years as annual sales growth has deteriorated sharply. Revenue peaked in 2023 and has declined roughly 28% since then, reflecting both weaker demand and operational headwinds. Year to date, shares are down 8.1%, as analysts continue to revise earnings estimates lower.
Further compounding the downside risk, MATW trades at a premium valuation relative to its current growth profile. With both earnings momentum and price action trending lower, Matthews International appears to lack a clear near-term catalyst. Until there is a material improvement in business fundamentals, this is a stock investors may want to avoid.
Matthews International Stock Declines on Downgrades
Matthews International has seen sharp downgrades to its earnings outlook, with analysts cutting current-quarter estimates by more than 50% and fiscal 2026 estimates by nearly 30%. As a result, MATW currently carries a Zacks Rank #5 (Strong Sell).
Sales are expected to decline another 25% this year, and while estimates stabilize somewhat beyond that, analysts forecast only a modest 0.5% decline in 2027, which is hardly indicative of a meaningful recovery.
The broader industry backdrop offers little support. The Zacks Industry Rank for Funeral Services currently sits in the bottom 3% (236 out of 244), suggesting continued headwinds at the sector level.
Despite Slowing Growth MATW Shares Trade at a Premium
Despite a weakening fundamental outlook, Matthews International currently trades at 30.6x forward earnings, its highest multiple in roughly a decade. Part of this is mechanical, as sharply lower earnings estimates inflate the multiple, but even on a normalized basis, the stock remains elevated at around 25x forward earnings.
There is little justification for this premium given the company’s declining sales, negative earnings revisions, and lack of clear growth drivers. As a result, the valuation leaves the stock vulnerable to further downside, particularly if investors continue to reprice shares in line with the deteriorating outlook.
Should Investors Avoid MATW Stock?
Matthews International presents a challenging setup, with weakening fundamentals, persistent estimate cuts, and a stretched valuation. Unlike situations where a discounted multiple can offset near-term headwinds, MATW offers little margin of safety, increasing the risk of continued underperformance.
Until earnings revisions stabilize and the company demonstrates a credible path back to growth, the risk-reward profile remains unfavorable. For now, investors may be better served focusing on stronger opportunities elsewhere in the market.
Additional content:
Make the Most of High Oil Prices with These Stocks
Oil has already taken the top spot in the stock market, as the world watches high commodity prices and their deterring effect on economies. In the meantime, investors willing to capitalize on the business environment could keep a close watch on leading energy names like TechnipFMC plc, Weatherford International plc and Nabors Industries Ltd.
Oil Price to Remain High
The price of West Texas Intermediate (WTI) crude is trading at more than $90 per barrel, according to data from oilprice.com, owing to the ongoing war in the Middle East. Also, in its latest short-term energy outlook, the U.S. Energy Information Administration mentioned its expectation for the WTI oil price this year at $73.61 per barrel, higher than $65.40 last year.
Thus, the present crude pricing environment is highly favorable for exploration and production activities. This will increase the demand for drilling rigs and oil field services.
3 Stocks in the Spotlight: FTI, WFRD & NBR
TechnipFMC
With oil prices back to their glory days, TechnipFMC is gaining. This is because FTI is well-known for providing equipment and services to upstream companies. The company ended 2025 with a total backlog of $16.6 billion, a significant improvement over the prior year. Thus, with a strong backlog and a favorable commodity pricing environment, FTI, sporting a Zacks Rank #1 at present, is well-positioned to benefit.
Weatherford International
Like FTI, Weatherford International will capitalize on healthy oil prices. This is because WFRD aided upstream players to run their operations more smoothly and efficiently in a cost-efficient manner. Thus, the company, flaunting a Zacks Rank of 1, will continue to generate handsome cash flows for shareholders since oil prices are lucrative.
Nabors Industries
Nabors Industries is also well-positioned to benefit from rising oil prices because NBR offers high-specification rigs and is mainly known for providing rig technologies and drilling solutions. With high oil prices, there will probably be a surge in upstream operations, which, in turn, will lead to increased drilling operations, thereby aiding the bottom line of NBR, currently carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Why Haven't You Looked at Zacks' Top Stocks?
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can access their live picks without cost or obligation.
See Stocks Free >>
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Zacks Investment Research
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Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index.Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.