Nvidia Corporation (NVDA) is an American technology company based in Santa Clara, California. It designs graphics processing units (GPUs) for the gaming and professional markets, as well as system on a chip units (SoCs) for the mobile computing and automotive market.
Nvidia’s primary GPU product line, labeled “GeForce”, is in direct competition with Advanced Micro Devices’ (AMD) “Radeon” products. Nvidia expanded its presence in the gaming industry with its handheld SHIELD Portable and SHIELD Tablet, which were both released in 2013.
Since 2014, Nvidia has shifted to become a platform company focused on four markets – gaming, professional visualization, data centers and auto. They have also announced plans to launch a supercomputer designed to train deep learning algorithms.
Nvidia is now worth $24B after their strong Q4 results
Nvidia’s stock has been on a tear lately, up almost 50% since mid-November 2016. The company reported strong fourth quarter results on Thursday, January 26th after the close of markets.
Revenue for the quarter came in at $2.17 billion, up 48% year-over-year and ahead of analysts’ expectations of $1.96 billion. Adjusted EPS was $0.94, also ahead of analysts’ estimates of $0.69.
For the full year, Nvidia reported revenue of $6.9 billion, up 30% from 2015, and adjusted EPS of $2.57. Analysts were expecting revenue of $6.7 billion and EPS of $1.94 for the full year 2016.
Nvidia’s strong results were driven by continued growth in its gaming business as well as growth in its new businesses including data center, automotive and professional visualization.
What is the Target price for Nvidia?
Nvidia’s Target price is currently $24B.
