2 Numbers I'll Be Looking for on Nov. 20 When Nvidia Reports Earnings

As an investor focused on stable profits and cash flows, I'll be closely watching Nvidia's earnings report on Nov. 20, 2024, to see how the company's financial performance aligns with my investment values. While Nvidia is a prominent player in the AI sector, I believe that dividend stocks and income-focused strategies offer more reliable returns for long-term investors. Here are two key numbers I'll be looking for in Nvidia's earnings report:
1. Revenue growth: Nvidia's revenue growth is a crucial indicator of the company's financial health and its ability to generate stable cash flows. In the lead-up to the earnings report, analysts expect Nvidia to report revenue of $16.00 billion, plus or minus 2%, for the third quarter of fiscal 2024. This represents a significant increase from the previous quarter and the same quarter last year. As an investor, I'll be looking for revenue growth that exceeds analysts' expectations, as this would indicate that Nvidia is successfully capitalizing on market opportunities and generating stable profits.
2. Gross margin: Nvidia's gross margin is another important metric that I'll be watching closely in the earnings report. Gross margin is a measure of the company's profitability and its ability to generate cash flows. Analysts expect Nvidia's gross margin to be 71.5% for the quarter, plus or minus 50 basis points. This is a slight decrease from the previous quarter but still higher than the same quarter last year. As an investor, I'll be looking for a gross margin that is in line with Nvidia's historical average, indicating that the company's profitability remains strong.
In conclusion, as an investor focused on stable profits and cash flows, I'll be closely watching Nvidia's earnings report on Nov. 20, 2024, to assess the company's financial performance. By analyzing the company's revenue growth and gross margin, I can gain insights into Nvidia's ability to generate stable cash flows and make informed investment decisions. While Nvidia is a prominent player in the AI sector, I believe that dividend stocks and income-focused strategies offer more reliable returns for long-term investors. By focusing on stable income-generating investments, investors can secure steady returns and achieve their financial goals.