After hitting a historic high of $149.77 last week, Nvidia's stock price experienced a correction this week, with a weekly decline of 3.83%. It is worth noting that Nvidia will disclose its third quarter financial report next Wednesday (November 20th) local time, which is its first financial report after being included in the Dow Jones Industrial Average. Recently, several institutional analysts have raised Nvidia's target price.
Heavy news has come from the Russia Ukraine situation. According to CCTV News, on November 16th local time, Ukrainian President Zelensky stated that Ukraine must make every effort to end the conflict through diplomatic means next year. On November 15th local time, Russian President Putin had a phone call with German Chancellor Scholz. This is the first time since December 2022 that both parties have resumed communication.
Nvidia will disclose its first financial report after being included in the Dow Jones Industrial Average
Next Wednesday (November 20th) local time, Nvidia will disclose its third quarter report, which will be its first financial report after being included in the Dow Jones Industrial Average.
In its second quarter financial report released on August 28th, Nvidia expects to achieve revenue of $32.5 billion in the third quarter, with a fluctuation of 2%, ranging from $31.85 billion to $33.15 billion; The gross profit margin under US GAAP is expected to be between 74.4% and 75%, with a fluctuation of 0.5 percentage points.
Wall Street analysts predict that Nvidia is expected to achieve revenue of $33.08 billion in the third quarter, an increase of 83% year-on-year; Adjusted net profit was $18.46 billion, a year-on-year increase of 84%.
Recently, several Wall Street analysts have raised Nvidia's target price, citing that the development of AI applications is still in its early stages, and Nvidia's latest artificial intelligence chip Blackwell will continue to drive Nvidia's performance upward.
Morgan Stanley analyst Joseph Moore predicts that Blackwell (Nvidia's next-generation AI chip and supercomputing platform) may achieve sales of $5 billion to $6 billion in the latest quarter. Piper Sandler analyst Harsh Kumar stated that due to Nvidia's dominant position in the field of artificial intelligence accelerators and the introduction of the Blackwell architecture, Nvidia has been listed as the preferred investment option and its target price has been raised from $140 to $175. Melius Research analyst Ben Reitzes believes that AI is still developing, computationally intensive catalysts are still in their early stages, and Nvidia's advantages are still significant. He has raised Nvidia's target price from $165 to $185. HSBC analysts are more optimistic, directly raising Nvidia's target price from $145 to $200.
Data shows that since the beginning of this year, Nvidia's stock price has risen by 186.76%, with a latest total market value of $3.48 trillion, surpassing Apple ($3.40 trillion) to become the world's most valuable company.
In addition, several software stocks in the AI led technology boom have performed well in the AI application direction. Data shows that since the beginning of this year, AppLovin and Palantir have risen by 630.46% and 283.05% respectively, far exceeding Nvidia's growth rate.
Goldman Sachs research report points out that in the next round of artificial intelligence investment, investors should not only focus on Nvidia and other AI infrastructure companies, but also choose platforms for building AI applications.
Zelensky: Strive to ensure diplomatic means next year
End the Russia-Ukraine conflict
According to CCTV News, on November 16th local time, Ukrainian President Zelensky stated in an interview with Ukrainian media that Ukraine must make every effort to end the conflict through diplomatic means next year. Negotiations with Russia are only possible if Ukraine is not facing Russia alone and has a strong stance.
Zelensky stated that the United States can act as a mediator, but must maintain a position of supporting Ukraine. Despite various peace plans proposed by individuals close to US President elect Trump, the Ukrainian authorities will only discuss specific issues with Trump himself.
Zelensky also stated that Russian armed forces are gathering and preparing for a joint attack on Ukraine. Ukraine has taken corresponding measures and strengthened its air defense system.
In addition, Zelensky stated that the situation in eastern Ukraine is very difficult.
Previously, Russian President Putin stated in a phone call with German Chancellor Scholz that Russia has never refused and has always been open to resuming negotiations between Russia and Ukraine. The possible agreement should take into account Russia's security interests, starting from the new territorial reality, and most importantly, address the root causes of the conflict.