The stock market has been anxiously awaiting what’s to come from the Nvidia (NVDA) Q4 earnings report. Although it has suffered through a volatile start to the year, things are expected to turn around. With stellar data likely to come, there is no debating that this time is likely to be different for the AI chipmaker.
Wednesday is the big day for the report, but Wall Street looks torn on what that could mean for the stock. The company is no stranger to positive earnings data that performs above expectations. In its last earnings report in November, it showcased a stunning year-over-year revenue increase of 206%. However, that expectation may be the problem.
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Nvidia Stock Expects Massive Q4 Earnings Once Again: Will The Stock Surge?
There are few companies that have enjoyed the upward trajectory that Nvidia has. The AI chipmaker is in a win-win position in the burgeoning artificial intelligence sector. However, its constant success has become a force that may just work against it, at least in the short term.
All eyes are on the Q4 earnings report for Nvidia (NVDA), and there are expectations that they will be stellar once again. However, there is worry from investors, and Wall Street analysts note that this outcome could be different. As the company keeps winning, the bar is only raised. The question now is, just how long can Nvidia be expected to clear that bar?
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DeVere Group CEO Nivel Green recently discussed this specific conundrum. “Wall Street already anticipates stellar results, but investors appear to be pricing in something even bigger—possibly beyond what analysts have factored in, “Green told the Financial Mirror.
“This sets up a scenario where Nvidia delivers strong numbers but still faces near-term stock volatility as traders digest results.” Analysts have projected revenue to reach $38 billion, a 72% jump from last year. Additionally, it has lofty earnings per share expectations, expecting a 64% leap.
Right now, Nvidia stock still has a median price target of $175, which would be a 33% jump from where it stands now. With Q4 poised to outperform, the stock has a 67% upside with high-end projects hitting $220.