Despite having lower gross revenue and profits compared to its trillion-dollar company peers, analysts expect Nvidia's financials to soon close the gap. The company is now the fourth most valuable public company globally, trailing only Microsoft, Apple, and Saudi Aramco. Nvidia is set to report its earnings next Wednesday, with analysts projecting a third consecutive quarter of record sales and profits.
Key takeaways:
- Nvidia's market value surpassed Amazon and Alphabet, reaching a market capitalization of $1.83 trillion, making it the fourth most-valuable public company in the world.
- Nvidia's stock has seen a 17,000% increase over the last decade, the best return of any stock on the S&P 500.
- The company's earnings before interest, taxes, depreciation and amortization (EBITDA) expanded by more than 500% last quarter on a year-over-year basis, largely due to growth in its AI unit.
- Analysts at Goldman Sachs and Bank of America have an $800 price target for Nvidia, implying 8% further upside for the stock.