Nvidia (NASDAQ:NVDA) stock fell 1% in after-hours trading on Thursday following its results for the first quarter of fiscal 2021. Notably, the quarter ended on April 26, 2020. The semiconductor company posted better-than-expected results in the first quarter.
In the first quarter, Nvidia reported revenue of $3.08 billion—up 38.7% YoY (year-over-year). The chipmaker reported an adjusted EPS of $1.80—up 104.5% YoY. Notably, Wall Street analysts expected Nvidia to post a non-GAAP EPS of $1.69 on total revenues of $3.00 billion.
Nvidia’s Q1 earnings results
The sales from Nvidia’s data center segment rose 17.9% sequentially and 80.0% YoY to $1.14 billion. However, the data center segment’s sales beat analysts’ consensus expectation of $1.03 billion. The revenues from the gaming segment fell 10.2% sequentially but rose 26.9% YoY to $1.34 billion. The gaming segment’s revenues also beat analysts’ consensus expectation of $1.30 billion.
In the second quarter of fiscal 2021, Nvidia expects revenues of $3.65 billion plus or minus 2%. Wall Street analysts expected the semiconductor company to see sales of $3.25 billion. The company’s revenue outlook includes the impact of the Mellanox acquisition.
Nvidia CFO Colette Kress said, “COVID-19 created challenges in supply and demand. Early in the quarter, our partners’ supply chains were disrupted. Shelter-in-place resulted in closure of retail outlets and China iCafes, affecting sales of our gaming products.” The report added, “However, work from home, learn at home, and gaming drove a surge in e-tail demand. Automobile infotainment system demand and autonomous development infrastructure builds declined, and the impact is expected to continue for the next several quarters.”
Analysts’ target price for Nvidia stock
Many analysts revised their target price for Nvidia stock after its first-quarter earnings results.
- Cowen and Company increased its target price from $325 to $410.
- Evercore ISI increased its target price from $345 to $400.
- J.P. Morgan increased its target price from $305 to $405.
- Rosenblatt Securities increased its target price from $340 to $400.
- Citigroup increased its target price from $315 to $392.
- Susquehanna increased its target price from $410 to $420.
- Benchmark increased its target price from $320 to $410.
- Deutsche Bank increased its target price from $300 to $315.
- Mizuho increased its target price from $295 to $400.
- Needham increased its target price from $360 to $400.
- Raymond James increased its target price from $330 to $370.
- Wedbush increased its target price from $340 to $420.
- Wells Fargo increased its target price from $360 to $430.
- Craig-Hallum increased its target price from $300 to $335.
- Suntrust Robinson increased its target price from $327 to $384.
Nvidia is tracked by 41 Wall Street analysts. Among the analysts, 32 recommend a “buy,” seven recommend a “hold,” and two recommend a “sell.” Analysts’ mean target price on the stock is $365.75, which implies a 4.2% gain from the current level of $351.01.
Advanced Micro Devices’ (NYSE:AMD) first-quarter adjusted EPS grew 200% YoY to $0.18. The company met analysts’ adjusted EPS estimate of $0.18. The company’s first-quarter revenue surged 40.4% year-over-year to $1.79 billion, which beat analysts’ estimate of $1.78 billion. Read Is AMD Stock a ‘Sell’ after Its Q1 Earnings? to learn more.
Intel’s (NASDAQ:INTC) first-quarter adjusted EPS grew 62.9% YoY to $1.45. The company beat analysts’ adjusted EPS estimate by 17 cents. The company’s first-quarter revenue surged 23.5% YoY to $19.83 billion, which beat analysts’ estimate of $18.7 billion. Read Is Intel Stock a ‘Sell’ after Its Q1 Earnings? to learn more.
Nvidia’s stock performance
Nvidia stock has risen close to 20% since the beginning of May. On Thursday, the stock closed at $351.01, which was 2.17% lower than its previous closing price, 3.44% lower than its 52-week high of $363.50, and 164.7% higher than its 52-week low of $132.60. The company’s market cap is $215.9 billion.
Based on Nvidia’s closing price on Thursday, it has reported returns of 9.3% in the last five trading days, 30.2% in the trailing one-month period, and 126.4% in the trailing 12-month period. The company has gained 49.2% since the beginning of 2020.
On Thursday, Nvidia closed 12% above its 20-day moving average of $313.53 and 26.6% above its 50-day moving average of $277.15. The company was also trading 31.3% above its 100-day moving average of $267.33.
Nvidia’s 14-day MACD is 31.22, which suggests an upward trading pattern. The company’s 14-day relative strength index score of 68.6 indicates that the stock is approaching overbought levels.
Intel and AMD have gained 3.6% and 19.2%, respectively, year-to-date.
Read Is Nvidia Stock a Smart Long-Term Buy? to learn more.