NVIDIA (NVDA) profits will be a decisive test for the artificial intelligence trade after the start of the slow arrow of this year. But even if the giant of the chips outperforms Wall Street's noble expectations, it does not guarantee that the arrow will restore its missing momentum.
In fact, the next road is likely to be rugged as the concerns surrounding the start of emerging in China, slow growth, and export restrictions remain potentially hanging on stocks. This drives Wall Street to send a clear message: preparing for a wild ride.
“We expect great volatility … we have seen it playing every time.” Meho Finance told me:
He listens: Is Nafidia very expensive?
The options market predicts 7 % swing in NVIDIA shares when Chip Giant reports fourth quarter profits. This is a more complete reaction compared to the last quarter, but it is still a lot of money – equivalent to about $ 230 billion in the market value.
What distinguishes this quarter from others is that fluctuation may still exist for a longer period.
David Powol, the administrative director of the stock derivatives at Baycrest, told me that the stock can remain on the rotating ship for a month after profits, as some investors have already bought the decline after the sales that Deepseek drives, while others who are satisfied may not be satisfied For results.
“We had a dress rehearsal about a month ago,” Boole said. “The feeling is what they can say that this will lead Nafidia by another 20 % in one day?”
Meanwhile, Nafidia's unprecedented momentum slowed. The shares rise by only 0.9 % since the beginning of the year after a decrease of 3.9 % last month. It is a great slowdown in the massive performance of the company in 2024, when the shares increased by 171 % and constituted more than 22 % of the S&P 500 2024 gains.
The chips giant is no longer the best contributor to the S&P 500.
Despite the uncertainty in the short term, many analysts in Wall Street remain optimistic about the long -term future NVIDIA, as Brian Susie, the Yahoo Finance Executive Editor. Vivek Arya warns of Bank of America of the opposite wind in the current quarter of Blackwell Transition, the declines of the voltage, and the Chinese restrictions-only to follow them with strong long-term horizons.
“The stock can be influencing the results of the post, but we expect the positive momentum to resume as the investors look forward to the pipeline of the pioneering new product pipelines in NVIDIA (GB300, Rubin) and the total expansion in the capable market in robots and technology at the upcoming GTC (March 17 conference ), “Arya wrote in a recent memo to customers.
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