Beyond the US presidential elections and the Federal Reserve meeting, the next date on the calendar is November 20. that day Nvidia to announce quarterly results. And the continuation of the market’s upward trend will partly depend on whether the American company’s figures are disappointing or surprising. Ahead of this key day, Nvidia overtook Apple this Monday in terms of market capitalization, becoming the largest listed company in the world. He was early the apple signature this year at specific times in June, although Microsoft was first then.
This won’t be the only historic milestone that experts expect Nvidia to mark. The truth is that there are already as many as 13 investment banks that see the semiconductor company’s shares at 164 euros per share or more. Or what is the same, They see the value of Nvidia’s capitalization above $4 billion. No company in the world has ever achieved such market value. This data also contrasts with the nine analysts who also agree that Apple can achieve this historic valuation. For the semiconductor company, there is even an investment firm that gives it a price target of $200. That’s more than $4.9 trillion in market value (the maximum valuation for Apple is $4.5 trillion).
Nvidia’s dominance wherever it goes is more than clear. Indeed, this Friday, November 8, Nvidia will join the Dow Jones to replace Intel at ensure “more representative exposure to the semiconductor industry”“, as reported by the owner of the index. Shares of the former have again recorded increases of more than 100% (180% specifically) compared to the collapse of more than 50% suffered by Intel. All this while waiting its quarterly accounts.
While waiting for your invoices
Tesla, Alphabet, Meta, Amazon, Microsoft and Apple have already been held accountable to the market. Currently, these six companies have improved their profits by an average of 19% year-over-year, although the truth is that if you exclude Apple from this equation, the percentage increases to 30%. The apple company is the only one to have presented a profit lower than estimates (39%) and the profits recorded during the same period of the previous year (36%).
Whether the stock market continues its upward trend depends in part on the results of technology. Although the guide has its own name: Nvidia. The results of this company have become one of the events highlighted every quarter, capable of changing the markets almost on the same level as the American elections themselves or the decisions of central banks.
For now, we will have to wait until November 20 for this flagship event, during which Experts expect Nvidia to report net profit of $17.495 million. If this figure were reached, the semiconductor company would achieve the highest quarterly profit in its history and, furthermore, it would mean improve the data of the same period of the previous year by up to 89% ($9.243 million). In fact, since the last quarter of 2023 (when ChatGPT emerged and AI fever broke out), Nvidia’s data has continued to beat market estimates (see chart).
“We expect Nvidia to continue to perform well across all segments and for strong demand for PC gaming to be an important revenue driver for the company, offsetting OEMs that are in secular decline. We expect the data center segment to see strong growth as hyperscale customers continue to adopt GPU-accelerated learning. [unidades de procesamiento gráfico] to process large data sets. We are also encouraged by the strength of the automotive and commercial segments, although mass adoption of autonomous driving in the market remains to be seen. We expect a significant increase in equities, which leads to our overweighting,” we argue at JP Morgan while waiting to know the official accounts.
For the full year 2024, net profit is expected to amount to the 68.616 million dollars (144% more than the already historic figure for 2023). And, in just two years, analysts expect the company to increase its profit above $100 billion, becoming one of five companies in the world that would reap those profits in 2026.
