NVIDIA Corp. (NASDAQ:NVDA) stock rose about 0.4% in Wednesday’s premarket trading as investors positioned for the chipmaker’s quarterly results.
NVIDIA will report fiscal second-quarter 2027 earnings after Wednesday’s closing bell. Analysts expect earnings of $2.09 per share, up from $1.04 a year earlier. Revenue is projected to nearly double to $92.03 billion from $46.74 billion.
The broader market offered little support before the open. Nasdaq futures slipped 0.06%, while S&P 500 futures fell 0.02%.
However, NVIDIA shares remained near key technical levels as investors awaited the earnings report. The results could test the stock’s longer-term uptrend.
Ahead of the report, UBS Private Wealth Management Managing Director Alli McCartney told CNBC that enthusiasm surrounding NVIDIA likely helped fuel the broader market rebound.
However, traders appear to expect a more muted reaction this quarter. NVIDIA’s options market is pricing in its smallest earnings-related move in eight quarters. McCartney said that aligns with UBS’ expectations for less dramatic changes in the company’s results, growth and forward estimates than in previous quarters.
Technical Analysis
NVIDIA traded 0.4% below its 20-day simple moving average of $214.58. A move above that level could strengthen the near-term trend. Failure to reclaim it could keep the stock range-bound.
Still, the broader trend remains positive. NVIDIA traded 2.8% above its 50-day SMA of $207.81 and 9.3% above its 200-day SMA of $195.43.
The moving averages also maintain a bullish structure. The 20-day average remains above the 50-day average, while the 50-day average sits above the 200-day average.
Meanwhile, the relative strength index stood at 49.58. That neutral reading suggests neither buyers nor sellers hold a clear advantage.
Key resistance sits near $214, close to the 20-day average. Support lies near $190, below the 200-day average.
Analyst Outlook
NVIDIA has a consensus Buy rating and an average price forecast of $328.79.
Raymond James raised its price forecast to $352 and maintained a Strong Buy rating Tuesday. Rosenblatt maintained a Buy rating and a $325 forecast Monday. KeyBanc kept an Overweight rating and a $330 forecast the same day.
The stock trades at about 32.6 times earnings, reflecting high expectations for future growth.
Benzinga Edge Rankings
The Benzinga Edge scorecard gives NVIDIA a momentum score of 56.33. That points to consolidation rather than strong acceleration.
The company scores 97.61 for quality and 99.23 for growth. However, its value score stands at just 5.91. Therefore, the valuation leaves less room for disappointment.
Top ETF Exposure
NVIDIA represents 9.79% of the First Trust Innovation Leaders ETF (NYSE:ILDR). It also accounts for 9.73% of the Franklin Focused Dynamic Growth ETF (NASDAQ:FFOG) and 9.60% of the Sapient Quality Select ETF (NASDAQ:SQS).
Heavy exposure means fund inflows or outflows could drive additional buying or selling in NVIDIA shares.
Price Action
NVIDIA shares rose 0.37% to $213.84 in Wednesday’s premarket trading, according to Benzinga Pro.
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