Schaeffer's 43rd Anniversary Stock Picks in 2024

Analysts Adjust Nvidia Stock Price Targets After Earnings

Analysts broadly remain optimistic toward the chip stock

Managing Editor
Aug 16, 2019 at 10:21 AM
facebook X logo linkedin


Shares of chipmaker Nvidia Corporation (NASDAQ:NVDA) are soaring this morning, in reaction to the company's impressive second-quarter earnings and revenue beat. Nvidia cited increased demand for high-end video game graphics chips as the main driver, sending NVDA stock up 6.7% to trade at $158.79.

Analysts have been quick to respond, with Mizuho and J.P. Morgan Securities issuing price-target cuts to $185 and $200, respectively. Meanwhile, BMO, Craig-Hallum, and Morgan Stanley served up price-target hikes to $145, $170, and $180, respectively. The majority of analysts remain optimistic toward the security, with 19 of 28 sporting a "buy" or "strong buy" rating. Meanwhile, the stock's average 12-month price target comes in 14% above current levels, at $182.01. 

NVDA has been an attractive target for options premium buyers over the last 12 months. Specifically, the equity's Schaeffer's Volatility Scorecard (SVS) registers at 91 out of a possible 100, which points to the stock's strong proclivity to make bigger-than-expected moves in the past year, relative to what the options market had priced in. 

On the charts, NVDA boasts a 19% year-to-date gain. The shares are still down 38% in the past 12 months, though, and today's surge is running out of steam near $160 -- home to the stock's 160-day moving average and pre-bear gap levels from earlier this month.

 

 

A.I.’s Dirty Little Secret: The Real Power Behind The AI. Boom ✨

Anyone who’s seen the The Matrix movies knows that A.I. needs power.  Lots and lots of power.

If you’ve seen the movie, you also know the grizzly results of the ensuing battle for that power.

Now, Wall Street’s battle for A.I. power won’t go to such extremes. Hopefully?

A.I. needs more power and that means more opportunities for stock traders in the know.

Download your free copy of “The A.I. Revolution: 4 Stocks to Buy Now”!