From Nasdaq: 2025-02-09 05:15:00

Nvidia (NASDAQ: NVDA) dominates the AI market with an 80% share, poised to capitalize on the market’s growth from $200 billion to over $1 trillion by 2030. The company’s revenue growth and profitability are strong, setting the stage for its fiscal Q4 2025 earnings report on Feb. 26, with high expectations.

Analysts predict earnings per share of about $0.84 and revenue of $37.5 billion for Nvidia’s upcoming report, but there’s potential for the company to exceed these estimates. Despite concerns over new product costs impacting margins, Nvidia has a track record of beating expectations, driven by demand for its AI products and efficient cost management.

Following concerns about Chinese start-up DeepSeek’s low GPU investment, Nvidia is expected to address the importance of high-powered GPUs in inference during its earnings report. The company is likely to emphasize the necessity of premium GPUs for inferencing, reaffirming their significance in AI applications and potential growth drivers in the future.

Despite recent uncertainties, including President Trump’s policies and DeepSeek news, Nvidia remains a strong investment with a competitive moat. Trading at 27x forward earnings estimates, the stock is considered undervalued. The upcoming earnings report could provide positive news, potentially leading to a surge in Nvidia’s stock price, making it an attractive opportunity for investors.



Read more at Nasdaq: My Top 3 Nvidia Predictions for Feb. 26