Nvidia (NASDAQ:$NVDA) has been a leading manufacturer of graphics chips for years. Interestingly, recently, the company has emerged as one of the stock market’s most existing growth picks. The numbers? Shares of the semiconductor giant gained nearly 100% so far this year according to Nvidia’s Q3 earnings report.
Nvidia will release its 3Q fiscal 2018 financial results after the closing bell on Thursday. Based on current Wall Street consensus estimates, it is expected that the company will report earnings of 94 cents per share and revenues of $2.36 billion- reflecting a year over year growth rate of 13.36% and 17.96%, respectively.
Perhaps the most exciting aspect of Nvidia’s impressive growth story has been its management’s focus on cutting-edge technologies. The company has delved into a variety of emerging tech trends, such as autonomous driving, artificial intelligence, and data center production. Investors will likely be focusing on the growth of these new initiatives when Nvidia releases its Q3 report.
Specifically, investors expect Nvidia’s gaming division to be the foundation of its report. The company’s high-powered graphics chips are a favorite among PC gamers, and a worldwide rise in the popularity of competitive gaming, known as “esports” has rendered this one of the hottest corners of the tech sector.
The consensus estimate for Nvidia’s gaming division is to be #1.332 billion, up about 7.07% from the $1.244 billion reported in the year-ago period.
Further, Nvidia’s data center segment is projected to report revenues of around $460 million, which would reflect a staggering 91.67% gain from the $240 million reported last year.
Currently, Nvidia sees an earnings ESP of +0.17%, which implies that analyst sentiment has warmed slightly in the lead up to tomorrow’s report.
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