Nvidia's Stock Split Could Spell Upside For Spear Alpha ETF's (SPRX) Top Holding

Last month, Nvidia delivered blistering results yet again in its financial disclosures. In its first quarter of fiscal year 2025, the tech giant posted earnings per share of $6.12 on revenue of $26.04 billion. In contrast, analysts were anticipating EPS of $5.60 on sales of $24.59 billion.

Look to Sector Performance, Not History: Although it's tempting to look back at Nvidia's prior stock splits to better determine the forward trajectory of NVDA stock, this exercise might not be as helpful as it may initially seem. That's because Nvidia, in the past, depended heavily on the video-gaming sector.

Per Grand View Research, the AI ecosystem could generate revenue of $279.22 billion by the end of this year. By 2030, the industry could generate sales of over $1.81 trillion, implying a CAGR of 36.6%. That's really the mainline narrative that undergirds NVDA stock.

The Nvidia Chart: Overall, the technical picture of Nvidia stock is resolutely bullish. Since the beginning of the year, the security has gained just under 153%. Over the past 52 weeks, the performance metric has jumped to more than 208%. Still, there are some nuances to consider.

Featured photo by Adeolu Eletu on Unsplash.

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