NVIDIA Earnings Preview: Analysts Expect Higher EPS, Revenue

NVIDIA (NASDAQ: NVDA) unveils its next round of earnings this Thursday, November 10, 2011. Here is Benzinga's everything-that-matters guide for this Thursday's third quarter earnings announcement.

Earnings and Revenue:

Ahead of the company's earnings announcement, analysts are expecting a positive EPS reading of 26 cents/share and revenues of $1.06 billion. NVIDIA's latest numbers will no doubt be compared with the company's year-ago quarter, when it reported a profit of 15 cents/share on revenues of $843.8 million. We'll know on Thursday whether the company has managed the estimated 73.3% increase in EPS and 25.6% rise in revenues on a year-over-year basis.

Here's how the company's reported EPS has stacked up against analyst estimates in the past:

(Estimates Source: Zacks)

Stock Performance:

As of November 7, 2011, NVIDIA's current share price was $14.74. Since January 1st, shares have declined 4.3%. For a full 12 months, the return has declined by 4.3%. Given that these returns are generally negative, long-term shareholders are probably a little upset going into this earnings release.

• Long-term shareholders are already wary of 12-month losses prior to the announcement

Average Stock Rating:

The average rating by analysts is a Hold. The strength of this rating has crept upwards over the past three months.

Competitors:

Looking for a sympathy stock to trade or interested in the performance of other companies in the same sector? Take a look at some of NVIDIA's peers.

• Advanced Micro Devices (NYSE: AMD): Hold with a $0.15 recent quarter EPS
• ARM Holdings plc (NASDAQ: ARMH): Hold with a $0.11 recent quarter EPS
• Broadcom (NASDAQ: BRCM): Moderate Buy with a $0.48 recent quarter EPS
• Intel (NASDAQ: INTC): Moderate Buy with a $0.65 recent quarter EPS

The semi-general company's industry has seen price/earnings growth of 1.5% during the current fiscal year.

Finally, a description of the company's main areas of operation: NVIDIA provides visual computing technologies that generate interactive graphics for computers, mobile devices, and gaming consoles.

Take Action:

Now that you have reviewed all the numbers, be ready to move if the upcoming NVIDIA earnings report has any surprises. Also, come back to Benzinga after the announcement for a full recap and a guide to your next steps.

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