Can Nvidia Continue to Report Blowout Quarterly Earnings?

Nvidia (NVDA) will report its fiscal Q4 earnings results on Wednesday, which is likely to have a significant impact on tech stocks.  Nvidia is up +40% this year and is the best-performing stock in the S&P 500 after surging over +200% in 2023.  Nvidia now ranks as the fourth largest global company at $1.79 trillion.  Nvidia’s Q4 revenue is expected to more than triple for a second straight quarter, buoyed by demand in its data center business, which accounts for 80% of its sales.

Based on Nvidia’s forecast, the company is expected to report $59 billion in revenue for the fiscal year ended in January, more than double what it reported the previous year. According to data from S&P Global Market Intelligence, none of Nvidia’s peers, including Apple, Alphabet, Amazon.com, and Microsoft, ever expanded revenue that fast in a single year from a similar starting point.  Based on annual revenue, Nvidia is poised to surpass Intel to become the world’s second-largest chip company.