Ahead of its Q3 FY'24 earnings release on November 21, analysts are predicting strong results for Nvidia, with earnings expected to reach US$3.10 per share on revenue of US$14.89 billion. This represents a significant increase from the same quarter last year when Nvidia reported earnings of 58 cents per share on revenue of US$5.93 billion.
Nvidia's stock gains have far outpaced the broader market, with the company's shares up nearly 240% year-to-date compared to the S&P 500 index's 17% rise. Over the past one and three years, Nvidia's stock has surged by 210% and 265%, respectively.
The driving force behind Nvidia's phenomenal growth lies in the robust demand for its AI accelerators, particularly in the data center sector, where revenue has tripled year-over-year. Analysts foresee sustained growth for Nvidia, indicating a consensus price target of US$580, translating to potential gains of almost 20% from its current value of US$493.
According to the Bloomberg Billionaires Index, Jensen Huang's net worth has increased from US$13.8 billion to US$43.5 billion as Nvidia's success has helped him become one of the world's wealthiest people.
Nvidia's early entry into the generative AI market has given it a competitive edge over rivals that are still in the development stage. As AI adoption accelerates, Nvidia is well-positioned to capitalize on this trend and deliver exceptional returns for its shareholders.
Nvidia is also a leading producer of graphics cards. This GeForce RTX 4060 is now included in the Black Friday deal on Amazon.
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