Nvidia Stock Outperforms Broader Market Ahead of Earnings Supported by Strong Growth Outlook

Nvidia (NVDA) stock outperformed the broader market recently, closing 1.2% higher while the S&P 500 gained 0.81%.

NVDA earnings are expected to show strong growth of 472% year-over-year when it reports soon.

Analysts predict revenue will grow 170% compared to last year, reflecting continued demand.

NVDA has a Zacks Rank of #1 (Strong Buy) based on positive estimate revisions for earnings and revenue.

The stock trades at a premium valuation with a Forward P/E of 40.78, above the industry average P/E of 18.27.