Nvidia Stock Looks Cheaper After Wednesday's Earnings Report
fool.com —
Nvidia is set to report second-quarter earnings Wednesday, with analysts expecting revenue growth of 97.2% to $92.2 billion, though the stock has only matched the S&P 500's 19% return over the past year. The company is projected to post its fourth straight quarter of improving revenue growth. Based on the fiscal 2027 earnings-per-share consensus of $9.02, the stock trades at 23.6 times earnings, roughly even with the S&P 500. Wall Street has consistently underestimated Nvidia's growth, with forward estimates rising after each of the last four earnings reports. Recent momentum around the Rubin platform, including SpaceX's exclusive partnership, suggests estimates may rise again, potentially making the stock cheaper on a forward basis.