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Analysts at Bank of America just reiterated a buy rating on Nvidia.
The firm said, as quoted by CNBC, “Our $275 PO is based on 28x CY27E PE ex cash, within NVDA’s historical 25x-56x forward year PE range, which we believe is justified by NVDA’s leading share in fast growing AI compute/networking markets, offset by lumpiness in global AI projects, cyclical gaming market, and concerns around access to power.”
Also, as we reported earlier today, Goldman Sachs is a big fan of the stock.
The firm has a buy rating with a $250 price target on the tech giant. It also expects Nvidia to post another beat and raise quarter when it posts earnings on February 25. They also expect NVDA to deliver a $2 billion revenue surprise and for it to outperform bottom-line numbers.
“We expect Nvidia to deliver a ~$2bn revenue beat in 4Q, and we stand 8% above the Street for 1Q revenue,” wrote the analysts in a research note shared with TheStreet. “Our 4Q and 1Q EPS estimates are 5% and 9% above the Street.”
Since bottoming out at around $67.50 in early January, the stock is now up to $79.03 heading into its report. At the moment, KO is expected to post revenue of about $12 billion, up 4% year over year. Adjusted EPS of 57 cents is also expected, which would be 3.6% growth.
Analysts at UBS have a buy rating on the KO stock with an $82 price target.
As noted by Investing.com, “UBS analyst Peter Grom forecasts fourth-quarter earnings per share of $0.56, slightly below the Visible Alpha consensus of $0.57, but still expects Coca-Cola to deliver ‘another quarter of +MSD organic growth’ with initial guidance pointing to another on-algorithm year ahead.”
Futures are red this morning.
The S&P 500 is down about 16 points, or by 0.24%. The SPDR S&P 500 ETF (SPY) is down about $1.50, or by 0.22%. The Dow is down by 40, or by 0.08%, as the Nasdaq slips 116, or by 0.46%. Bitcoin isn’t looking healthy again either, down $1,434, or by 2.04%.
Aside from earnings from Cisco (NASDAQ: CSCO) and Spotify (NYSE: SPOT) this week, markets are also waiting on the delayed January jobs report, which was delayed with the partial government shutdown. It also follows the latest ADP report that showed private payrolls increased by just 22,000 in January, which was below expectations.
January CPI will also be out on Friday. Economists are looking for a 2.5% year over year increase in the headline CPI number, and a 2.6% increase in the core rate, which excludes volatile food and energy prices, says CNBC.
U.S. Indices aren’t the only ones hitting record highs
Japan’s Nikkei just hit a record high, crossing above 57,000 for the first time. All after Prime Minister Sanae Takaichi won a landmark election victory. The ruling Liberal Democratic Party captured a two-thirds supermajority in the 465-seat lower house, as noted by CNBC.
Related stocks and ETFs such as the iShares MSCI Japan ETF (EWJ) and the iShares JPXd-Nikkei 400 ETF (JPXN) are gaining big momentum on the news.
Goldman Sachs Bullish on Nvidia Ahead of Earnings
Goldman Sachs is a big fan of Nvidia (NASDAQ: NVDA) heading into earnings.
The firm has a buy rating with a $250 price target on the tech giant. It also expects Nvidia to post another beat and raise quarter when it posts earnings on February 25. They also expect NVDA to deliver a $2 billion revenue surprise and for it to outperform bottom-line numbers.
“We expect Nvidia to deliver a ~$2bn revenue beat in 4Q, and we stand 8% above the Street for 1Q revenue,” wrote the analysts in a research note shared with TheStreet. “Our 4Q and 1Q EPS estimates are 5% and 9% above the Street.”
The firm also expects the company to ramp hyper scaler forecasts, raise data center guidance, and see a benefit from growing GPU demand and AI demand. Plus, as the company moves to replace its Blackwell chips with Rubin, progress on that front could be a substantial catalyst.
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