$NVDA.US NVDA is trading around $229-232, up 2-3% today after closing Friday at $225.07 (intraday prices vary by source). It's up about 23% year to date, and the market cap is roughly $5.4T.
Why it's moving
- Record buyback:The board added $150B to its repurchase program, bringing total capacity to $235B through fiscal 2028. It's the largest single increase ever for a US company.
- Strong numbers:Q2 revenue was $96.2B, up 106% year over year, with data center as the main driver.
- Relative strength: The stock is rising while the broader market is weak and AMD and Broadcom are slipping.
Valuation: NVDA trades at about 16.5x forward earnings, its lowest since January 2015 and far below its 15-year average of ~30x. Bulls call that cheap for this growth, while bears say the market is doubting how long AI spending can last.
Analysts: Consensus is Buy, with an average target near $348, roughly 50% above the current price. Targets are opinions, not forecasts.
Risks
- The stock depends on big tech's AI capex staying strong.
- The 10-year yield is at 5.23% and oil is rising, which pressures growth stocks.
- Insiders have sold about $2.2B in shares over the past year, with no purchases.
- China Chip sales there remain uncertain. One report says Beijing is weighing whether to let companies buy new Nvidia chips.
The fundamentals are strong and the multiple is compressed, but the thesis rests on AI demand staying hot. Buybacks support the price, they don't guarantee it.
#NVDIA #Nvidia
Why it's moving
- Record buyback:The board added $150B to its repurchase program, bringing total capacity to $235B through fiscal 2028. It's the largest single increase ever for a US company.
- Strong numbers:Q2 revenue was $96.2B, up 106% year over year, with data center as the main driver.
- Relative strength: The stock is rising while the broader market is weak and AMD and Broadcom are slipping.
Valuation: NVDA trades at about 16.5x forward earnings, its lowest since January 2015 and far below its 15-year average of ~30x. Bulls call that cheap for this growth, while bears say the market is doubting how long AI spending can last.
Analysts: Consensus is Buy, with an average target near $348, roughly 50% above the current price. Targets are opinions, not forecasts.
Risks
- The stock depends on big tech's AI capex staying strong.
- The 10-year yield is at 5.23% and oil is rising, which pressures growth stocks.
- Insiders have sold about $2.2B in shares over the past year, with no purchases.
- China Chip sales there remain uncertain. One report says Beijing is weighing whether to let companies buy new Nvidia chips.
The fundamentals are strong and the multiple is compressed, but the thesis rests on AI demand staying hot. Buybacks support the price, they don't guarantee it.
#NVDIA #Nvidia