NVIDIA's Explosive Earnings: Should You Buy the Stock or ETFs Now?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 28 2024
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Source: NASDAQ.COM
- NVIDIA's Exceptional First-Quarter Results: NVIDIA reported outstanding first-quarter fiscal 2025 results with a significant increase in data center revenues driven by AI technology adoption.
- Key Players in Data Center Revenue: Microsoft, Amazon, and Alphabet accounted for approximately 45% of NVIDIA's data center revenue.
- Split-Adjusted Stock Trading: NVIDIA's stock will begin trading on a split-adjusted basis on June 10, potentially making it more attractive to retail investors and opening the possibility of inclusion in the Dow.
- Competition and Dominance in AI Chip Market: While NVIDIA holds a dominant position in cutting-edge chips for training AI models, competition may arise in the future as other companies develop their own chips.
- ETFs and Investment Opportunities: Single-stock ETFs tracking NVIDIA have gained popularity, offering short-term trading opportunities, while chip and AI-focused ETFs are well-positioned to benefit from the AI boom.
Analyst Views on GOOGL
Wall Street analysts forecast GOOGL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for GOOGL is 338.25 USD with a low forecast of 279.00 USD and a high forecast of 390.00 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.
34 Analyst Rating
27 Buy
7 Hold
0 Sell
Strong Buy
Current: 330.540
Low
279.00
Averages
338.25
High
390.00
Current: 330.540
Low
279.00
Averages
338.25
High
390.00
About GOOGL
Alphabet Inc. is a holding company. The Company's segments include Google Services, Google Cloud, and Other Bets. The Google Services segment includes products and services such as ads, Android, Chrome, devices, Google Maps, Google Play, Search, and YouTube. The Google Cloud segment includes infrastructure and platform services, collaboration tools, and other services for enterprise customers. Its Other Bets segment is engaged in the sale of healthcare-related services and Internet services. Its Google Cloud provides enterprise-ready cloud services, including Google Cloud Platform and Google Workspace. Google Cloud Platform provides access to solutions such as artificial intelligence (AI) offerings, including its AI infrastructure, Vertex AI platform, and Gemini for Google Cloud; cybersecurity, and data and analytics. Google Workspace includes cloud-based communication and collaboration tools for enterprises, such as Calendar, Gmail, Docs, Drive, and Meet.
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.
