When analysts look forward toward the full year and say that a company's profits are likely to rise, that can fuel a rally in the stock. When these stocks are also near buy points from proper bases, that brings conviction that some hefty gains may be in the offing.
The Rising Profit Estimates in the IBD Stock Screener shows that analysts have rising profit estimates for Nvidia and Meta as they hover near buy points.
Nvidia Stock And Meta Near Buy Points
Nvidia is approaching its newest trendline entry around 127.50, after strong growth in sales and earnings in the past five quarters. The stock has risen past multiple early entries since it retook the 50-day moving average last Tuesday.
Analysts polled by FactSet expect profit to rise 118% in 2024 to $2.83 per share, according to IBD MarketSurge. In 2025, profit is seen rising 44% to $4.07 per share.
Meta is hovering at the top of a buy zone from a buy point of 542.81 and from an alternative entry at 544.23.
Rising profit estimates are tailwinds for the stock. In 2024, analysts see profit rising 37% to $21.30 per share while in 2025, earnings for the social media giant are seen rising 14% to $24.24 per share. Shares are also approaching their all-time high, which is another point in favor of the stock.
InterDigital is in a buy zone from a flat base's buy point of 140.60. Second quarter sales grew 120% while earnings of $4.57 per share soared 252%.
For the full year, analysts expect a 10% decline in earnings from 2023 and a steeper 52% decline in 2025. Yet, the latest estimates were revised upward.
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