Analysts are weighing in on how NVIDIA Corporation (NASDAQ:NVDA) , might perform in the near term. Wall Street analysts have a much less favorable assessment of the stock, with a mean rating of 2.4. The stock is rated as buy by 7 analysts, with 6 outperform and 12 hold rating. The rating score is on a scale of 1 to 5 where 1 stands for strong buy and 5 stands for strong sell.
For the current quarter, the 20.00 analysts offering adjusted EPS forecast have a consensus estimate of $0.37 a share, which would compare with $0.05 in the same quarter last year. They have a high estimate of $0.41 and a low estimate of $0.35. Revenue for the period is expected to total nearly $1.35B from $1.15B the year-ago period.
For the full year, 20.00 Wall Street analysts forecast this company would deliver earnings of 1.58 per share, with a high estimate of $1.83 and a low estimate of $1.42. It had reported earnings per share of $1.08 in the corresponding quarter of the previous year. Revenue for the period is expected to total nearly $5.59B versus 5.01B in the preceding year.
The analysts project the company to maintain annual growth of around 22.43% percent over the next five years as compared to an average growth rate of 7.24% percent expected for its competitors in the same industry.
Among the 20 analysts Data provided by Thomson/First Call tracks, the 12-month average price target for NVDA is $44.48 but some analysts are projecting the price to go as high as $56.00. If the optimistic analysts are correct, that represents a 18 percent upside potential from the recent closing price of $47.55. Some sell-side analysts, particularly the bearish ones, have called for $30.00 price targets on shares of NVIDIA Corporation (NASDAQ:NVDA) .
In the last reported results, the company reported earnings of $0.05 per share, while analysts were calling for share earnings of $0.10. It was an earnings surprise of -50.00%percent. In the matter of earnings surprises, the term Cockroach Effect is often implied. Cockroach Effect is a market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events that have yet to be revealed. In the case of earnings surprises, if a company is suggesting a negative earnings surprise it means there are more to come.
NVIDIA Corporation operates as a visual computing company worldwide. It operates in two segments, GPU and Tegra Processor. The GPU segment offers processors, which include GeForce for PC gaming; Quadro for design professionals working in computer-aided design, video editing, special effects, and other creative applications; Tesla for deep learning, accelerated computing, and general purpose computing; and GRID for cloud-based streaming on gaming devices. The Tegra Processor segment provides processors that integrate a computer onto a single chip under the Tegra brand name; DRIVE automotive computers, which offer supercomputing capabilities; and tablet and portable devices for mobile gaming under the SHIELD name. The companys products are used in gaming, professional visualization, datacenter, and automotive markets. It sells its products primarily to original equipment manufacturers, original design manufacturers, system builders, motherboard manufacturers, add-in board manufacturers, and retailers/distributors. NVIDIA Corporation was founded in 1993 and is headquartered in Santa Clara, California.