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Nvidia (NVDA) Stock Sinks As Market Gains: What You Should Know
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Nvidia (NVDA - Free Report) closed the most recent trading day at $233.72, moving -0.01% from the previous trading session. This change lagged the S&P 500's daily gain of 0.28%. Elsewhere, the Dow gained 0.29%, while the tech-heavy Nasdaq added 0.19%.
Coming into today, shares of the maker of graphics chips for gaming and artificial intelligence had lost 21.14% in the past month. In that same time, the Computer and Technology sector lost 10.69%, while the S&P 500 lost 5.39%.
Nvidia will be looking to display strength as it nears its next earnings release. On that day, Nvidia is projected to report earnings of $1.22 per share, which would represent year-over-year growth of 56.41%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.43 billion, up 48.53% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.33 per share and revenue of $26.7 billion, which would represent changes of +73.2% and +60.14%, respectively, from the prior year.
Any recent changes to analyst estimates for Nvidia should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate has moved 0.08% higher within the past month. Nvidia is currently a Zacks Rank #2 (Buy).
Digging into valuation, Nvidia currently has a Forward P/E ratio of 53.93. This valuation marks a premium compared to its industry's average Forward P/E of 17.31.
We can also see that NVDA currently has a PEG ratio of 2.81. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. NVDA's industry had an average PEG ratio of 2.55 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 78, putting it in the top 31% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Nvidia (NVDA) Stock Sinks As Market Gains: What You Should Know
Nvidia (NVDA - Free Report) closed the most recent trading day at $233.72, moving -0.01% from the previous trading session. This change lagged the S&P 500's daily gain of 0.28%. Elsewhere, the Dow gained 0.29%, while the tech-heavy Nasdaq added 0.19%.
Coming into today, shares of the maker of graphics chips for gaming and artificial intelligence had lost 21.14% in the past month. In that same time, the Computer and Technology sector lost 10.69%, while the S&P 500 lost 5.39%.
Nvidia will be looking to display strength as it nears its next earnings release. On that day, Nvidia is projected to report earnings of $1.22 per share, which would represent year-over-year growth of 56.41%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.43 billion, up 48.53% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.33 per share and revenue of $26.7 billion, which would represent changes of +73.2% and +60.14%, respectively, from the prior year.
Any recent changes to analyst estimates for Nvidia should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate has moved 0.08% higher within the past month. Nvidia is currently a Zacks Rank #2 (Buy).
Digging into valuation, Nvidia currently has a Forward P/E ratio of 53.93. This valuation marks a premium compared to its industry's average Forward P/E of 17.31.
We can also see that NVDA currently has a PEG ratio of 2.81. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. NVDA's industry had an average PEG ratio of 2.55 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 78, putting it in the top 31% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.