Nvidia (NVDA - Free Report) closed at $214.92 in the latest trading session, marking a -1.46% move from the prior day. This move lagged the S&P 500's daily loss of 0.63%. Meanwhile, the Dow lost 0.43%, and the Nasdaq, a tech-heavy index, lost 1.04%.
Coming into today, shares of the maker of graphics chips for gaming and artificial intelligence had lost 21.91% in the past month. In that same time, the Computer and Technology sector lost 7.79%, while the S&P 500 lost 6.28%.
Investors will be hoping for strength from NVDA as it approaches its next earnings release, which is expected to be November 15, 2018. In that report, analysts expect NVDA to post earnings of $1.91 per share. This would mark year-over-year growth of 43.61%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.24 billion, up 22.87% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.90 per share and revenue of $12.99 billion. These totals would mark changes of +60.57% and +33.72%, 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. NVDA is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that NVDA has a Forward P/E ratio of 27.62 right now. For comparison, its industry has an average Forward P/E of 11.54, which means NVDA is trading at a premium to the group.
Investors should also note that NVDA has a PEG ratio of 2.59 right now. 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 1.85 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 77, putting it in the top 30% 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.