Nvidia (#NVDA) weekly special report based On 1 Lot Calculation:
- AI: CHATGPT SPARKS AI COMPETITION AMONGST MAJOR TECH FIRMS, FUELLING DEMAND FOR NVIDIA AI PROCESSING PRODUCTS: According to reports, Microsoft, Alphabet and Meta are set to invest $90B into AI technology development. Nvidia holds around 86% of the AI Processing market as of Q4 22. OpenAi, the company that invented ChatGPT, used Nvidia GPU chips to create it.
- NVIDIA IN AI WORLD: Nvidia’s H100 GPU chip is one of the most critical tools in artificial intelligence with Nvidia the only company that produces a chip of this kind. Nvidia takes up 95% of the graphics processors used for machine learning.
The Company -
- NVIDIA develops and produces three dimensional graphics processors and other related software. Additionally, the company also produces graphics processing units, which is a critical component when developing artificial intelligence and self-driving autonomous vehicles.
Events and Analysis:
- NVIDIA ORDERS LARGE BATCH OF CHIPS FROM TSMC THAT ARE SET FOR DEVELOPMENT AND SALE TO CHINA: Nvidia has ordered a new batch of chips from TSMC that are set to be developed and sold to China, suggesting the company has made positive progress in avoiding the latest US export controls. The order is set to be filled in Q1 2024. The development could positively impact revenue and earnings.
- NVIDIA WAS THE MOST PROFITABLE SEMICONDUCTOR FIRM IN THE WORLD IN THE 3RD QUARTER, POSTING 206% HIGHER REVENUE THAN A YEAR AGO: Nvidia reported its best ever quarterly revenue in the third quarter, with the company generating $18 billion. This was 206% higher than the same time in the previous year. According to reports the company was the most profitable semiconductor firm in the third quarter.
- NVIDIA ON TRACK FOR POTENTIAL RECORD ANNUAL REVENUE AND EARNINGS, WITH REVENUE EXPECTED TO BE 118% HIGHER THAN THE PREVIOUS YEAR WHILE EARNINGS COULD GROW 534%: Nvidia could be expected to continue its exponential growth, with analysts forecasting 118% revenue growth and 534% earnings growth since over the previous financial year. Nvidia continues to capitalize on the artificial intelligence boom, and is set to report a record year.
- NVIDIA ANNOUNCES THAT IT WILL TRIPLE PRODUCTION OF ITS CURRENTLY MOST POPULAR H100 CHIP NEXT YEAR, WHICH IS SET TO REACH 2 MILLION UNITS NEXT YEAR: Nvidia is set to upscale its production of the H100 chip due to extremely high demand for the company’s chips, as the artificial intelligence sector goes through exponential growth.
Price Action -
- ANALYSTS OPINIONS: HSBC has a price target of $800. BNP is targeting $745. Barclays is targeting $650. JP Morgan is targeting $650. The Bloomberg Consensus target is $652
- STOCK PRICE POTENTIAL: NVIDIA was last trading at $485, with the Bloomberg consensus targeting $652, indicating a potential upside of about 34% could these forecasts materialize. However, the price could decline further.
Nvidia, December 14, 2023
Current Price: 485.00
|
NVIDIA |
Weekly |
|
Trend direction |
|
|
700.00 |
|
|
600.00 |
|
|
515.00 |
|
|
455.00 |
|
|
440.00 |
|
|
420.00 |
Example of calculation based on weekly trend direction for 1 Lot1
|
NVIDIA |
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Pivot Points |
||||||
|
Profit or loss in $ |
215,000.00 |
115,000.00 |
30,000.00 |
-30,000.00 |
-45,000.00 |
-65,000.00 |
|
Profit or loss in €2 |
197,189.82 |
105,473.62 |
27,514.86 |
-27,514.86 |
-41,272.29 |
-59,615.53 |
|
Profit or loss in £2 |
169,820.19 |
90,834.05 |
23,695.84 |
-23,695.84 |
-35,543.76 |
-51,340.99 |
|
Profit or loss in C$2 |
289,269.60 |
154,725.60 |
40,363.20 |
-40,363.20 |
-60,544.80 |
-87,453.60 |
- 1.00 lot is equivalent of 1 000 units
- Calculations for exchange rate used as of 09:50 (GMT) 14/12/2023
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