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Nvidia stock with a blowout earnings.
#NVDAstock #stocks #investing #shorts
Nvidia stock with a blowout earnings.
#NVDAstock #stocks #investing #shorts
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NewsTranscript
00:00 Nvidia just reported earnings and the stock is screaming higher.
00:04 Shares are up 25% in after hours trading and that means the company has added $180 billion
00:10 in market value in just a couple of hours.
00:13 So the company is now being valued at roughly $935 billion.
00:19 Let's take that guidance of $11 billion for next quarter and let's assume that continues
00:22 to grow at 25% a quarter.
00:25 That means this time next year we'd be looking at around $63 billion in annual revenue.
00:30 Apply a generous 30% net margin gets us to a net income of $19 billion.
00:35 So that means at today's valuation of $935 billion, the company is valued at roughly
00:40 49 times next year's earnings.
00:43 And that's based on this quite aggressive scenario.
00:46 Overall this is an excellent report from Nvidia and it explains why the market has been bidding
00:50 up this stock over the last few months.
00:53 around the stock is sky high and the AI boom is only just getting started.