With a market capitalization of $3.4 trillion, Santa Clara, California-based NVIDIA Corporation (NVDA) operates as the world’s largest semiconductor company. Known for its pioneering work in accelerated computing, NVIDIA’s invention of the GPU revolutionized the PC gaming industry and redefined computer graphics. It also sparked the modern AI era and propelled the creation of the Metaverse. Over the years, NVIDIA has transformed into a full-stack computing company delivering solutions that are reshaping the world’s industries.
The semiconductor giant is expected to report its fourth quarter financial results on Wednesday, February 19th. Ahead of the event, analysts expected NVIDIA to report earnings of $0.79 per share, an impressive 61.2% increase from the $0.49 per share reported a year ago. is. previous quarter. Additionally, the company has exceeded Wall Street earnings estimates in each of the past four quarters. EPS for the last reported quarter increased 110.8% year over year to $0.78, beating analyst estimates by 11.4%.
For the full year 2025, NVIDIA’s EPS is expected to be $2.78, a significant 135.6% increase from $1.18 in fiscal 2024. Meanwhile, fiscal 2026 earnings are expected to increase 43.2% year-over-year to $3.98 per share.
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NVDA stock has soared 136.7% over the past 52 weeks, significantly outpacing the S&P 500 Index ($SPX)’s 25% rise and the Technology Select Sector SPDR Fund (XLK)’s 17.9% return over the same period.
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Given that AI is transforming industries, companies, and countries around the world, a surge in demand for semiconductor chips has been observed across the world, which is driving NVIDIA’s revenue growth. I am. NVDA stock observed a slight increase during trading hours after the company announced impressive third quarter results on November 20th. The company reported record quarterly data center revenue of $30.8 billion, an impressive 112% year-over-year increase. As a result, total revenue increased 93.6% year over year to a record $35.1 billion. Additionally, despite significantly increasing R&D spending, NVIDIA achieved a 108.9% year-over-year increase in net income to $19.3 billion.
NVIDIA expects this growth to continue over the next several quarters, with the company providing fourth-quarter median revenue guidance of $37.5 billion, reflecting strong revenue growth of 6.8% sequentially. Masu.
Moreover, analysts remain strongly bullish on the stock’s outlook. NVDA has an overall consensus rating of Strong Buy. Of the 43 analysts covering the stock, 36 have recommended a “strong buy” rating, three have recommended a “moderate buy” rating, and four have recommended a “hold” rating. The average price target is $176.55, representing a 25.4% premium to the current price level.
On the date of publication, Aditya Sarawgi did not have any positions (directly or indirectly) in any securities mentioned in this article. All information and data in this article is for informational purposes only. For more information, please see the Barchart Disclosure Policy here. More news from Barchart
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