During the year, Nvidia (NASDAQ: NVDA) stock gained 163% in value. Despite the market pullback to $98 in early August, the stock quickly recovered and is now priced at $128 per share. Let’s examine whether the company's quarterly reports and new developments can surprise investors once again.
Nvidia’s Next Earnings Expectations
Over the last six quarters, Nvidia has consecutively beaten earnings per share (EPS) expectations. For the quarter ending April, the forecast was exceeded by 13.73%. For the fiscal quarter ending July 2024, Zacks Investment Research places an EPS consensus of $0.59. Nvidia has projected revenue of $28 billion with a possible deviation of 2%.
What about Nvidia’s Blackwell Delay?
Nvidia’s new Blackwell architecture aims for cost-effective training of large language models (LLM) and promises significant reductions in operational expenditures. However, Blackwell shipments are not expected until Q1 2025 due to chip packaging complexities. KeyBanc Capital Markets equity researcher John Vinh noted that this delay will not impact second and third-quarter results.
What about AMD and Intel?
Nvidia continues to dominate the GPU and data center markets, holding a 34.84% share in the semiconductor sector and 88% in the global GPU market. AMD and Intel are also making strides: AMD recently acquired ZT Systems for $4.9 billion and Intel is advancing its Gaudi 3 chips.
Nvidia's stock remains highly sought after despite potential market volatility. With an average price target of $150.29, the company's strong growth outlook and market leadership make it an attractive option for investors.
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