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Nvidia (NVDA) Advances But Underperforms Market: Key Facts
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In the latest close session, Nvidia (NVDA - Free Report) was up +2.22% at $182.05. This move lagged the S&P 500's daily gain of 2.51%. Meanwhile, the Dow experienced a rise of 2.85%, and the technology-dominated Nasdaq saw an increase of 2.8%.
The maker of graphics chips for gaming and artificial intelligence's shares have seen a decrease of 3.61% over the last month, not keeping up with the Computer and Technology sector's loss of 0.84% and the S&P 500's loss of 1.66%.
The investment community will be closely monitoring the performance of Nvidia in its forthcoming earnings report. In that report, analysts expect Nvidia to post earnings of $1.76 per share. This would mark year-over-year growth of 117.28%. Simultaneously, our latest consensus estimate expects the revenue to be $78.66 billion, showing a 78.52% escalation compared to the year-ago quarter.
NVDA's full-year Zacks Consensus Estimates are calling for earnings of $8.03 per share and revenue of $352.22 billion. These results would represent year-over-year changes of +68.34% and +63.11%, respectively.
Investors should also note any recent changes to analyst estimates for Nvidia. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 1.62% upward. At present, Nvidia boasts a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, Nvidia is holding a Forward P/E ratio of 22.17. This denotes a discount relative to the industry average Forward P/E of 32.07.
Meanwhile, NVDA's PEG ratio is currently 0.57. 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. The average PEG ratio for the Semiconductor - General industry stood at 1.81 at the close of the market yesterday.
The Semiconductor - General industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 17, placing it within the top 7% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Nvidia (NVDA) Advances But Underperforms Market: Key Facts
In the latest close session, Nvidia (NVDA - Free Report) was up +2.22% at $182.05. This move lagged the S&P 500's daily gain of 2.51%. Meanwhile, the Dow experienced a rise of 2.85%, and the technology-dominated Nasdaq saw an increase of 2.8%.
The maker of graphics chips for gaming and artificial intelligence's shares have seen a decrease of 3.61% over the last month, not keeping up with the Computer and Technology sector's loss of 0.84% and the S&P 500's loss of 1.66%.
The investment community will be closely monitoring the performance of Nvidia in its forthcoming earnings report. In that report, analysts expect Nvidia to post earnings of $1.76 per share. This would mark year-over-year growth of 117.28%. Simultaneously, our latest consensus estimate expects the revenue to be $78.66 billion, showing a 78.52% escalation compared to the year-ago quarter.
NVDA's full-year Zacks Consensus Estimates are calling for earnings of $8.03 per share and revenue of $352.22 billion. These results would represent year-over-year changes of +68.34% and +63.11%, respectively.
Investors should also note any recent changes to analyst estimates for Nvidia. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 1.62% upward. At present, Nvidia boasts a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, Nvidia is holding a Forward P/E ratio of 22.17. This denotes a discount relative to the industry average Forward P/E of 32.07.
Meanwhile, NVDA's PEG ratio is currently 0.57. 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. The average PEG ratio for the Semiconductor - General industry stood at 1.81 at the close of the market yesterday.
The Semiconductor - General industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 17, placing it within the top 7% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.