Why the high growth investor may take a look at NASDAQ:NVDA.

Our stockscreener has identified a possible breakout setup on NVIDIA CORP (NASDAQ:NVDA). This occurs when the stock consolidates following a significant upward movement. While the breakout outcome cannot be guaranteed, it may be worth monitoring NASDAQ:NVDA for potential opportunities.

Technical Analysis Observations

ChartMill assigns a Technical Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple technical indicators and properties.

Taking everything into account, NVDA scores 8 out of 10 in our technical rating. This is due to a consistent overall performance, although we see some doubts in the very recent evolution. In the medium time frame things are still looking good.

• Looking at the yearly performance, NVDA did better than 94% of all other stocks. We also observe that the gains produced by NVDA over the past year are nicely spread over this period.
• NVDA is part of the Semiconductors & Semiconductor Equipment industry. There are 109 other stocks in this industry. NVDA outperforms 90% of them.
• NVDA is currently trading in the upper part of its 52 week range. The S&P500 Index is also trading in the upper part of its 52 week range, so NVDA is performing more or less in line with the market.
• The short term trend is negative, but the long term trend is still positive. So although the long term is still positive, this may be a trend turning.

Check the latest full technical report of NVDA for a complete technical analysis.

How do we evaluate the setup for NASDAQ:NVDA?

Alongside the Technical Rating, ChartMill assigns a Setup Rating to evaluate the consolidation level of a stock. This rating, ranging from 0 to 10, is updated daily and considers various short-term technical indicators. The current setup rating for NASDAQ:NVDA is 7:

Besides having an excellent technical rating, NVDA also presents a decent setup pattern. Prices have been consolidating lately and the volatility has been reduced. There is a support zone below the current price at 135.58, a Stop Loss order could be placed below this zone.

Looking into the high growth metrics of NVIDIA CORP

• The quarterly earnings of NVIDIA CORP have shown a 101.0% increase compared to the previous quarter, as revealed in the recent financial report. This growth signifies positive momentum in the company's financials, pointing towards a promising upward trend
• With consistent quarter-to-quarter (Q2Q) revenue growth of 93.61%, NVIDIA CORP exemplifies its ability to generate increased sales and revenue streams. This growth signifies the company's strong business performance and its potential for continued growth.
• The EPS of NVIDIA CORP has shown consistent growth over a 3-year period, indicating the company's ability to generate increasing earnings over time.
• With notable 1-year revenue growth of 152.0%, NVIDIA CORP exemplifies its ability to generate increased sales and revenue streams. This growth signifies the company's strong business performance and its potential for future growth.
• NVIDIA CORP has seen a 9.91% change in the average next Quarter EPS Estimate by analysts over the last 3 months, signaling the shifting perception of the company's EPS outlook.
• In the most recent financial report, NVIDIA CORP reported a 101.0% increase in quarterly earnings compared to the previous quarter. This notable growth indicates positive momentum in the company's financials, suggesting an upward trend
• The operating margin of NVIDIA CORP has seen steady growth over the past year, signaling improved profitability. This trend indicates the company's effective cost management and its ability to generate higher returns.
• NVIDIA CORP has shown positive growth in its free cash flow (FCF) over the past year, indicating improved cash generation and financial strength. This growth highlights the company's ability to effectively manage its cash flows and generate surplus funds.
• With a favorable Return on Equity (ROE) of 95.71%, NVIDIA CORP demonstrates its ability to deliver attractive returns for shareholders. This metric highlights the company's effective management of assets and its profitability.
• NVIDIA CORP exhibits a favorable Debt-to-Equity ratio at 0.13. This highlights the company's ability to limit excessive debt levels and maintain a strong equity base, demonstrating its financial stability and risk management practices.
• NVIDIA CORP demonstrates a balanced ownership structure, with institutional shareholders at 66.85%. This indicates a diverse investor base, which can contribute to price stability and potential future growth.
• NVIDIA CORP has a strong history of beating EPS estimates in the last 4 quarters, signaling its ability to consistently exceed market expectations. This indicates the company's strong financial performance and its potential for creating shareholder value.
• NVIDIA CORP has exhibited strong Relative Strength(RS) in recent periods, with a current 94.48 rating. This indicates the stock's ability to outperform the broader market and reflects its competitive position. NVIDIA CORP shows promising potential for continued price momentum.

More ideas for high growth momentum breakouts can be found on ChartMill in our High Growth Momentum Breakout screen.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.