Nvidia Set to Report Earnings on Feb 25, Stock Up Nearly 1500% Since 2022 Low
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Fool
- Significant Revenue Growth: Nvidia's revenue surged 62% year-over-year to $148 billion in the first nine months of fiscal 2026, with expectations of a 63% annual growth, reinforcing its dominant position in the data center segment.
- Market Leadership: Despite competitors like AMD narrowing the gap, Nvidia remains the leader in the AI accelerator market, with CEO Jensen Huang showcasing new architectures and an open-source AI model at CES, indicating ongoing commitment to innovation.
- Cost Pressures: Nvidia's cost of revenue skyrocketed by 106%, resulting in a net income increase of only 52% to $77 billion, suggesting that while growth is robust, high costs may impact future profitability and shareholder returns.
- Valuation Challenges: With a market cap of $4.4 trillion, Nvidia faces a daunting target of $8.8 trillion if its stock were to double, a significant challenge in the current market landscape that may make its shares less attractive compared to peers with sub-$1 trillion valuations.
Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for NVDA is 264.97 USD with a low forecast of 200.00 USD and a high forecast of 352.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 187.050
Low
200.00
Averages
264.97
High
352.00
Current: 187.050
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is a full-stack computing infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. The Company’s segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing platforms and artificial intelligence (AI) solutions and software; networking; automotive platforms and autonomous and electric vehicle solutions; Jetson for robotics and other embedded platforms, and DGX Cloud computing services. The Graphics segment includes GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems, and Omniverse Enterprise software for building and operating industrial AI and digital twin applications.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
