Topic: How To Invest

Wall Street Stock Forecaster Hotline – Friday, August 25, 2023

Article Excerpt

NVIDIA CORP., $460.18, Nasdaq symbol NVDA, remains a buy, but only for highly  aggressive investors. The company is a leading designer of 3D-capable video chips; they make video games run more smoothly and appear more lifelike. Nvidia has also adapted its chips for other applications, including artificial intelligence (AI), datacentres and self-driving cars. The stock gained 8% this week after the company reported better-than-expected quarterly results but also increased its forecast revenue for the current quarter. That’s due to strong customer demand for its chips that power AI applications, such as the popular ChatGPT online chatbot/search engine. In its fiscal 2024 second quarter, ended July 30, 2023, Nvidia’s revenue rose 101.5%, to $13.51 billion from $6.70 billion a year earlier. That also easily beat the consensus forecast of $11.08 billion. Earnings before unusual items soared 421.7% in the quarter, to $6.74 billion from $1.29 billion. Due to fewer shares outstanding, earnings per share gained 429.4%, to $2.70 from $0.51. That also beat the consensus estimate…