Nvidia’s earnings beat Wall Street’s estimates as AI momentum continues | Fox Business
The stock market has slowed down a bit as earnings season wraps up, but all eyes are now on Nvidia (NVDA) and Veeva Systems (VEEV) — two companies investors are watching closely this week.
Nvidia Stock: Can It Keep Climbing?
Nvidia’s stock has been on a wild ride. Back in April, shares dipped to $86.62, but the company quickly bounced back and has stayed strong since.
The real turning point came in May when Nvidia announced a big data center deal with Saudi firm Humain. That news pushed shares higher, and despite some recent dips, the stock is still in an uptrend.
Last quarter, Nvidia’s adjusted profit jumped 33% to $0.81 a share, while revenue soared 69% to $44.1 billion. Its data center business was the star, up 73% to $39.1 billion, with gaming revenue also growing 42% to $3.8 billion.
However, Nvidia faced challenges too. China’s export restrictions on its H20 AI chips forced the company to take a $4.5 billion hit due to excess inventory. Even so, analysts expect strong results for the July quarter — forecasting a 48% profit jump to $1.01 per share and 53% revenue growth to $45.9 billion. Nvidia will report earnings Wednesday after the close.
Veeva Systems: Another Strong Report Coming?
Veeva Systems, a cloud software provider for the life sciences industry, is another company investors are watching. Its tools help pharmaceutical and biotech companies streamline operations and bring products to market faster.
Earlier this year, Veeva impressed Wall Street with a 17% revenue increase to $759 million. Subscription revenue alone rose 19% to $634.8 million. A big driver of growth is Vault CRM, its platform connecting sales, marketing, and medical teams. Veeva already has 80 customers using it and plans to reach 200 soon.
Analysts expect Veeva’s upcoming results to show a 17% profit increase to $1.90 per share and 14% revenue growth to $768.5 million. Like Nvidia, Veeva reports Wednesday after the close.
Other Earnings to Watch
- Retailers: Dick’s Sporting Goods, Five Below, Ollie’s Bargain Outlet, and Burlington Stores all report this week.
- Heico (HEI): Aerospace leader reports Monday.
- Affirm (AFRM): The buy-now-pay-later company posts results Thursday.
Options Strategy: A Quick Look
Some traders use call options during earnings season to bet on rising stocks without taking on too much risk. For Nvidia, a recent call option at a $175 strike price with an Aug. 29 expiration cost around $6.60 per share. That means the stock would need to rise above $181.60 for the trade to break even.
Bottom Line
This week’s earnings could shape where the market goes next. Nvidia’s results will test whether Wall Street’s AI excitement is still strong, while Veeva looks ready to prove its steady growth story. Investors will be watching closely.
#Nvidia #StockMarket #EarningsReport #VeevaSystems #Investing