josen626

Fundamental Analysis NVDA Q3 Earnings

NASDAQ:NVDA   NVIDIA
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For my latest stock, I took a look at NVIDIA Earnings $NVDA Stock. Darth Bear got 2Pts, while Bull Solo got 5Pts! NVDA is a strong company with a healthy balance sheet!

Darth Bear Points

1)When comparing Q3 20' vs. Q3 19', there was a decrease in sales in almost all segments (gaming, data center, auto, OEM & others) of the revenue. Total revenue was down ~5%

2)NVDA revised its outlook for Q4 that sees revenue of $2.89-3.01B vs. consensus: $3.08B. Never good to see a company downside their outlook the quarter before.

Bull Solo Points

1)NVDA beat earnings and revenue!

2) The company is working on ridiculous projects for the future! Plenty of AI and Machine learning that will blow your mind. I don't talk about them here because they are so many. Have customers and collaboration with many big players.

3) The company has a small shareholder return, they pay a low dividend and have a repurchase program (which is on hold at the moment due to an aquisition )

4) Balance Sheet is looking good! Nvidia has low long term debt when we compare it to the companies Cash & Cash Equivalents. Also, the long term debt has meager rates and are spread throughout numerous years.

5) Analyst Estimate Future EPS and revenue is growing for the next two years. Giving Nvidia Forward P/E ratio of about ~33, which is kind of high for my taste but not too too horrible.

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