Nvidia May Look Cheaper After Q2 as Revenue Seen Jumping 97.2% to $92.2 Billion
Updated
Updated · The Motley Fool · Aug 25
Nvidia May Look Cheaper After Q2 as Revenue Seen Jumping 97.2% to $92.2 Billion
3 articles · Updated · The Motley Fool · Aug 25
Summary
$92.2 billion in second-quarter revenue and $9.02 in fiscal 2027 EPS are the key figures behind expectations that Nvidia will look cheaper after Wednesday's earnings, even if the share price barely moves.
23.6 times forward earnings is roughly in line with the S&P 500, a notable shift for a company whose business is still expected to post a fourth straight quarter of accelerating revenue growth.
The valuation case rests on estimates moving higher again: Nvidia's last four earnings reports were followed by noticeable increases in consensus forward EPS forecasts, and Wall Street has repeatedly underestimated its longer-term growth.
Rubin platform momentum, including SpaceX's decision to build exclusively on Nvidia, adds to the view that post-earnings forecasts could rise further, making the stock more attractive on a forward basis despite only a 19% gain over the past year.