After the March correction, NVIDIA’s market cap reached a price level where it started to look attractive to buy. Although the company is a growth leader not only for the broad market but also for the advanced tech sector, the price\/earnings ratio is not far from the average. For example, for the tech sector, the average P\/E multiple is 35, but for NVIDIA it is now just 37, which shows that the company’s market price is almost fair.<\/p>\n
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The company’s actual sales in its most recently reported quarter exceeded expectations by 3.23%, while earnings per share (EPS) beat estimates by 4.97%. EPS growth for the year is expected to be 51.96%. Meanwhile, the average annual EPS growth rate for the tech sector is 11%.<\/p>\n
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NVIDIA has a record 119% return on equity and 81% return on investment. Gross profit is 75% and net profit is 56%. All of these estimates are well ahead of the tech sector average.\u00a0<\/p>\n
The company also continues to maintain a low level of debt. Its total debt-to-equity ratio is 0.13, while the sector average is 0.46. This means that NVIDIA has 3.5 times less debt than many other tech companies.<\/p>\n
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The current short sales volume is 1.03%. In comparison, the sector average for short positions is 2.01%. In other words, NVIDIA stock is almost half as exposed to selling as other companies in the sector.<\/p>\n
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The overall recommendation<\/strong> is to buy NVIDIA from the current level.<\/p>\n Profits should be taken at the level of 130.0. A Stop loss could be set at the level of 95.0.\u00a0<\/p>\n The volume of the opened position should be set in such a way that the value of a possible loss, fixed with the help of a protective Stop loss order, is no more than 1% of your deposit funds.<\/p>\n","protected":false},"excerpt":{"rendered":" Market analysis by financial analysts and experienced traders. Forecast for NVIDIA Corporation.<\/p>\n","protected":false},"author":1,"featured_media":4488,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-4487","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market-forecasts"],"translation":{"provider":"WPGlobus","version":"2.12.2","language":"en","enabled_languages":["ru","en"],"languages":{"ru":{"title":true,"content":true,"excerpt":true},"en":{"title":false,"content":false,"excerpt":false}}},"yoast_head":"\r\n