Nvidia (NVDA) Offering Possible 40.85% Return Over the Next 29 Calendar Days

Nvidia's most recent trend suggests a bearish bias. One trading opportunity on Nvidia is a Bear Call Spread using a strike $545.00 short call and a strike $555.00 long call offers a potential 40.85% return on risk over the next 29 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $545.00 by expiration. The full premium credit of $2.90 would be kept by the premium seller. The risk of $7.10 would be incurred if the stock rose above the $555.00 long call strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Nvidia is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving down which suggests that the medium-term momentum for Nvidia is bearish.

The RSI indicator is at 56.78 level which suggests that the stock is neither overbought nor oversold at this time.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here


LATEST NEWS for Nvidia

Boeing, Tesla, NIO, Nvidia, Target – 5 Things You Must Know Wednesday
Wed, 18 Nov 2020 10:51:00 +0000
Stock futures trade cautiously higher as Wall Street weighs progress on a coronavirus vaccine against a rise in infection numbers; the flight ban on Boeing's 737 MAX will be lifted Wednesday; Morgan Stanley is bullish on Tesla.

Is Nvidia a Buy Ahead of Earnings? This Is What You Need to Know
Wed, 18 Nov 2020 00:26:16 +0000
Semiconductor stocks have enjoyed a bountiful 2020. The industry’s overall barometer, the SOX (the PHLX Semiconductor Index) has added 38% year-to-date, easily outgunning the S&P 500’s 12% returns. The sector has been led by several outperformers, among them Nvidia (NVDA).Heading into Wednesday’s FQ3 earnings, the GPU leader boasts year-to-date gains of a massive 128%, as the company has taken full advantage of the Covid-19 driven trends.Ahead of the print, Rosneblatt analyst Hans Mosesmann expects Nvidia to post some eye-catching numbers.“We are looking for the company to post a beat and raise to our/consensus estimates for both the October ending quarter and January outlook,” the 5-star analyst said. The analyst added, “We see Nvidia benefiting from key themes/trends over the next few quarters/years, including a multi-year data center GPU compute cycle, the transition to a”soft” IP company, and a product shift to the data center in the near-term and increasing and recurring software sales from automotive in the long-term.”Nvidia’s success has been driven by the outstanding performance of its two main segments – Gaming and Data Center. Mosesmann expects Gaming revenue to increase by “high-20s% q/q,” boosted by PCs “remaining the largest entertainment platform and the continued adoption of RTX.”The analyst also believes the launch of new consoles during the holiday season will prove to be an additional catalyst.Nvidia’s other high-flying segment – Data Center – is also expected to post strong results. Mosesmann anticipates “low to mid-single-digits q/q growth,” based on “strong traction from Ampere,” and a continuation of the WFH tailwind.While Gaming and Data Center are traditionally Nvidia’s main breadwinners, the next few years could see a third segment coming to the fore. After a difficult 1H20 severely affected by Covid-19, Mosesmann expects Nvidia’s Automotive segment to post a recovery, coming in “flat to slightly up q/q,” with further recovery in the January quarter.Accordingly, Mosesmann rates NVDA shares a Buy along with a $600 price target, which implies a 12% upside from current levels. (To watch Mosesmann’s track record, click here)Amongst Mosesmann’s colleagues, there are plenty supporting his bullish thesis. NVDA's Strong Buy consensus rating is based on a resounding 26 Buys vs. 4 Holds and 1 Sell. At $584.63, the average price target suggests upside of ~9% in the year ahead. (See Nvidia stock analysis on TipRanks)To find good ideas for chip stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights.Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.

Apple’s New Mac Chip Is Winning Raves. Here’s What It Means for Investors.
Tue, 17 Nov 2020 19:38:00 +0000
The new design from Apple called the M1 is based on technology from Arm Holdings, and is a departure from Intel semiconductors.

Nvidia Stock: Evaluating A High Risk, High Reward Option Earnings Trade
Tue, 17 Nov 2020 19:14:13 +0000
Monday, Nvidia stock closed back above the 50-day moving average, which is a crucial level for bulls to defend.

ETFs to Watch Ahead of Nvidia's Q3 Earnings
Tue, 17 Nov 2020 17:20:05 +0000
A few analysts like Deutsche Bank, Susquehanna raised the price target on Nvidia ahead of its Q3 earnings on its continued strength in the gaming and data center markets.

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