From Nasdaq: 2024-05-03 09:30:09

Analyst recommendations play a significant role in influencing stock prices. With an average brokerage recommendation (ABR) of 1.20, Nvidia has majority Strong Buy ratings. However, studies show these recommendations may not always be reliable due to analysts’ positive bias towards stocks, making it essential to validate with tools like Zacks Rank.

Zacks Rank, a successful stock rating tool, categorizes stocks from Strong Buy to Strong Sell based on earnings estimate revisions. Unlike ABR, Zacks Rank has a strong correlation with stock price movements. For Nvidia, optimistic earnings estimate revisions have led to a Zacks Rank #2 (Buy) designation, indicating potential for price appreciation in the near future.

Despite debates over the reliability of analyst recommendations, historical data shows Bitcoin as the most profitable asset class. Zacks predicts a significant surge in Bitcoin’s value in the coming months based on past performance in presidential election years, highlighting its potential for high returns compared to other investment options.



Read more at Nasdaq: Wall Street Analysts Think Nvidia (NVDA) Is a Good Investment: Is It?