Bond market storm could rain on Nvidia’s parade
Nvidia is set to release its first-quarter earnings, with high expectations for revenue growth. However, rising bond yields could impact the company's stock performance, as seen in previous earnings reports. Analysts are concerned that the current economic climate may affect Nvidia's valuation despite its strong cash reserves.
- ▪Nvidia's revenue is projected to increase by almost 80 percent to nearly US$79 billion.
- ▪The company has seen its stock price fall after previous earnings reports, despite strong revenue growth.
- ▪Rising bond yields are raising concerns about the valuation of growth stocks like Nvidia.
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ShareSave for laterPlease log in to bookmark this story.Log InCreate Free AccountNvidia (NVDA-Q) could become a victim of its own success. The bar for wowing markets with sizzling quarterly results has never been higher for the world’s most valuable company. Now soaring bond yields threaten to raise it further still.The US$5.5-trillion chipmaking powerhouse releases first-quarter earnings after the market close on Wednesday. Expectations, as always, are sky-high. Revenue is projected to increase by almost 80 per cent to nearly US$79-billion, according to the median forecast in an LSEG survey of analysts.UBS, Morgan Stanley and Bank of America are among those who have raised their share price target for the artificial intelligence darling in the last week.
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