Market Overview

I think you’ll love what you hear,
what you’ll see and the opportunities
that will be set before you.
- Jon Najarian
GET TICKETS

What To Expect From Nvidia's Analyst Day

Share:
What To Expect From Nvidia's Analyst Day

NVIDIA Corporation (NASDAQ: NVDA)'s analyst day is Tuesday, and it's likely to be upbeat, according to BMO Capital Markets.  

Nvidia will likely highlight the drivers in its gaming, data center and auto businesses and update shareholders on key financial numbers, analyst Ambrish Srivastava said in a preview note. 

“Among the areas highlighted, we see a particular emphasis on the inferencing market in AI, on updates to the architecture for gaming and on new developments such as ray-tracing for gaming,” Srivastava said.

Ray-tracing technology could be a big winner for Nvidia, the analyst said — "a technology that can bring real-time, cinema-like rendering to content creators and game developers." 

Nvidia is a clear leader in AI training, but inferencing will be a more competitive market, according to BMO.

From a financial standpoint, BMO expects Nvidia to keep focusing on shareholder returns. Nvidia will likely provide some commentary on longer-term operating expenses and gross margins, Shrivastava said. Nvidia recently announced it is returning $1.25 billion to shareholders in fiscal 2019.

Nvidia’s sky-high valuation has BMO on the sidelines with a Market Perform rating and $225 price target, but Srivastava said the stock deserves to trade at a valuation premium to its competitors due to its prime positioning in AI and other high-growth markets.

Nvidia traders seem optimistic heading into the event. The stock was up 2.7 percent at the time of publication Monday; the equity is up more than 1,000 percent in the past three years.

Related Links:

Wall Street Reacts To Nvidia's Blowout Q4 

Analyst's View On Micron Could Be A Good Contrarian Signal Ahead Of Earnings

Photo courtesy of Nvidia. 

Latest Ratings for NVDA

DateFirmActionFromTo
May 2019DowngradesBuyHold
May 2019MaintainsBuy
May 2019MaintainsHold

View More Analyst Ratings for NVDA
View the Latest Analyst Ratings

Posted-In: Ambrish Srivastava artificial intelligence BMO Capital MarketsAnalyst Color News Events Analyst Ratings Tech Best of Benzinga

 

Related Articles (NVDA)

View Comments and Join the Discussion!

Latest Ratings

StockFirmActionPT
WIXMaintains140.0
WIXMaintains155.0
NICEMaintains137.0
AMATMaintains52.0
VMWMaintains224.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com

Barclays: Homebuilder DR Horton Deserves Premium Valuation

31 Stocks Moving In Monday's Mid-Day Session