Nvidia is set to report its first-quarter results on May 22, with analysts expecting another quarter of impressive growth. Revenue is forecasted to increase by 243.3%, supporting a 418% increase in earnings per share to $5.65. This growth is primarily being driven by Nvidia’s data center segment, which is expected to see a 390% increase in revenue to over $21 billion.
Despite the strong performance, there are some risks to Nvidia’s outlook, including geopolitical tensions between the United States and China, a potential slowdown in demand due to weaker economic activity, and fluctuations in cloud spending levels. However, concerns about double orders are starting to diminish.
Analysts remain bullish on Nvidia stock, with a consensus Buy rating and a price target of $1,035. The company’s past performance has consistently exceeded expectations, and analysts are looking to Nvidia for guidance on future growth.
In terms of technical analysis, Nvidia shares have been hitting all-time highs in response to various economic data releases. The stock is currently facing resistance at its all-time high of $975, and there are signs of a potential pullback in the near future. A rising wedge pattern is forming, which could signal a reversal in the stock’s upward trend if trendline support is broken.
Overall, Nvidia’s upcoming earnings report will be closely watched by analysts and investors alike, as the company continues to demonstrate strong growth in its key segments. The stock’s performance in the coming months will likely be influenced by a variety of factors, including macroeconomic conditions and market sentiment towards the semiconductor industry.
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