Nvidia on the watch of stock buyers close to earnigs report

In the last quarter, Q3FY24, Nvidia (NVDA), the chipmaker, once again surpassed market expectations, reporting net revenue and adjusted EPS figures exceeding the projected values of $16.09 billion and $3.36, respectively, by over 10%. Since that report, Nvidia’s stock has experienced a remarkable 30% surge since mid-November 2023.

As anticipation builds for Nvidia’s Q424 release, analysts are eyeing several key factors. The consensus estimate among analysts suggests an impressive overall improvement in Nvidia’s results. The projected revenue stands at $20.2 billion, indicating a staggering year-over-year (YoY) growth of 234% and a quarter-over-quarter (QoQ) increase of 11.56%. Although this growth might seem ambitious, it aligns with Nvidia’s own guidance, projecting revenue in the $20 billion range with a margin of error of plus or minus 2%.

Moreover, the Wall Street consensus aligns with Nvidia’s gross margin guidance, anticipating a robust profitability with gross margins reaching 75.5% (non-GAAP). Combining these revenue and margin projections, analysts expect the company’s adjusted earnings per share (EPS) to reach $4.16, reflecting an extraordinary YoY increase of 628%.

As Nvidia continues its impressive performance, the market is closely watching the upcoming Q424 release for further insights into the chipmaker’s sustained growth and potential market impact.