We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
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) Stock Sinks As Market Gains: Here's Why
Read MoreHide Full Article
In the latest trading session, Nvidia (NVDA - Free Report) closed at $139.23, marking a -0.12% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.24%. Elsewhere, the Dow gained 0.16%, while the tech-heavy Nasdaq added 0.08%.
Shares of the maker of graphics chips for gaming and artificial intelligence have depreciated by 1.02% over the course of the past month, underperforming the Computer and Technology sector's gain of 1.76% and the S&P 500's gain of 2.37%.
Market participants will be closely following the financial results of Nvidia in its upcoming release. The company plans to announce its earnings on February 26, 2025. It is anticipated that the company will report an EPS of $0.84, marking a 61.54% rise compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $37.72 billion, indicating a 70.68% growth compared to the corresponding quarter of the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Nvidia. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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.
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 last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Nvidia currently has a Zacks Rank of #2 (Buy).
In the context of valuation, Nvidia is at present trading with a Forward P/E ratio of 33.13. This denotes a discount relative to the industry's average Forward P/E of 33.62.
Also, we should mention that NVDA has a PEG ratio of 1.66. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. NVDA's industry had an average PEG ratio of 2.19 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 63, finds itself in the top 26% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Nvidia (NVDA) Stock Sinks As Market Gains: Here's Why
In the latest trading session, Nvidia (NVDA - Free Report) closed at $139.23, marking a -0.12% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.24%. Elsewhere, the Dow gained 0.16%, while the tech-heavy Nasdaq added 0.08%.
Shares of the maker of graphics chips for gaming and artificial intelligence have depreciated by 1.02% over the course of the past month, underperforming the Computer and Technology sector's gain of 1.76% and the S&P 500's gain of 2.37%.
Market participants will be closely following the financial results of Nvidia in its upcoming release. The company plans to announce its earnings on February 26, 2025. It is anticipated that the company will report an EPS of $0.84, marking a 61.54% rise compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $37.72 billion, indicating a 70.68% growth compared to the corresponding quarter of the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Nvidia. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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.
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 last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Nvidia currently has a Zacks Rank of #2 (Buy).
In the context of valuation, Nvidia is at present trading with a Forward P/E ratio of 33.13. This denotes a discount relative to the industry's average Forward P/E of 33.62.
Also, we should mention that NVDA has a PEG ratio of 1.66. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. NVDA's industry had an average PEG ratio of 2.19 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 63, finds itself in the top 26% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.