Nvidia shares jumped, after Bank of America analyst re-iterated his rating.
Bank of America analyst Vivek Arya affirmed the chipmaker’s stock at buy. He also hiked his price target on the shares to $250 from $225. That's the highest among Wall Street analysts, as reported by Bloomberg.
In an Oct. 15 report, Arya mentioned that his confidence on Nvidia’s growth potential has increased due to what he perceives as strength of the company's natural language processing technology.
"Nvidia's data-center growth is on the cusp of benefiting from the next-big artificial-intelligence landmark," the report said. Nvidia is in a "prime position” to benefit from its portfolio of hardware, software and developer systems, as indicated by Arya.
The Aroon Indicator for NVDA entered a downward trend on April 23, 2024. Tickeron's A.I.dvisor identified a pattern where the AroonDown red line was above 70 while the AroonUp green line was below 30 for three straight days. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options. A.I.dvisor looked at 141 similar instances where the Aroon Indicator formed such a pattern. In of the 141 cases the stock moved lower. This puts the odds of a downward move at .
The Momentum Indicator moved below the 0 level on April 12, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on NVDA as a result. In of 75 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
NVDA moved below its 50-day moving average on April 19, 2024 date and that indicates a change from an upward trend to a downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where NVDA declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where NVDA's RSI Indicator exited the oversold zone, of 17 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 2 days, which means it's wise to expect a price bounce in the near future.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where NVDA advanced for three days, in of 368 cases, the price rose further within the following month. The odds of a continued upward trend are .
NVDA may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 63, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. NVDA’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: NVDA's P/B Ratio (47.847) is very high in comparison to the industry average of (6.442). P/E Ratio (69.089) is within average values for comparable stocks, (112.323). Projected Growth (PEG Ratio) (1.111) is also within normal values, averaging (2.518). NVDA has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.021). P/S Ratio (33.784) is also within normal values, averaging (34.699).
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a manufacturer of computer graphics processors, chipsets, and related multimedia software
Industry Semiconductors