Nvidia (NVDA) ended the recent trading session at $147.65, demonstrating a -0.83% swing from the preceding day's closing price. This move lagged the S&P 500's daily gain of 0.38%. Meanwhile, the Dow gained 0.59%, and the Nasdaq, a tech-heavy index, added 0.09%.

Heading into today, shares of the maker of graphics chips for gaming and artificial intelligence had gained 10.44% over the past month, outpacing the Computer and Technology sector's gain of 7.11% and the S&P 500's gain of 4.9% in that time.

The investment community will be paying close attention to the earnings performance of Nvidia in its upcoming release. The company is slated to reveal its earnings on November 20, 2024. On that day, Nvidia is projected to report earnings of $0.74 per share, which would represent year-over-year growth of 85%. Alongside, our most recent consensus estimate is anticipating revenue of $32.81 billion, indicating an 81.07% upward movement from the same quarter last year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.82 per share and a revenue of $124.81 billion, signifying shifts of +116.92% and +104.87%, respectively, from the last year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Nvidia. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.18% higher. Nvidia presently features a Zacks Rank of #2 (Buy).

With respect to valuation, Nvidia is currently being traded at a Forward P/E ratio of 52.75. This indicates a premium in contrast to its industry's Forward P/E of 19.66.

We can additionally observe that NVDA currently boasts a PEG ratio of 1.48. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Semiconductor - General industry currently had an average PEG ratio of 3.3 as of yesterday's close.

The Semiconductor - General industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 15, putting it in the top 6% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

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