Can it recover after selling 40 %?

Nafidia Nasdak: nvda The stock price has been reached 40 % decrease in early April It may fall further. The wide market amid huge reset resulting from the customs tariff, which will take months to play and have long -term repercussions. The sincere fact is that the price of NVIDIA’s share can reduce 100 % of its value, but this is very unlikely to look at its industry, its pioneering location in the market in artificial intelligence and cash flow.

The company’s cash flow has grown along with the mutation of artificial intelligence and provides sufficient funds for re -investment, maintenance of the public budget, capital returns, and improving value. More importantly, The company is in a good position to continue investing in artificial intelligence, regardless of definitions or economic conditions.

The outstanding points at the end of F2024 include an annual increase of $ 17 billion in the monetary center, UP 67 % on an annual basis70 % increase in total assets, an increase of 80 % in stocks. The company is a cash net for total responsibility, and it is expected to produce a strong cash flow in the F2025 and F2026.

The opposite winds of the stock price in the early second quarter are that the directions of feelings for analysts cool. Although it is still optimistic in general, three reports issued in late March include two discounts and reduced price. You must retreat from the purchase and to less than $ 125This indicates the extent to the NVIDIA Bull Market until the next catalyst appears, and there is likely to have an event related to relieving economic uncertainty in the broad market. When this happens, the share price can increase by 50 % to 100 %. Analysts consensus $ 170, with 75 % of critical support levels And a new height when reaching it.

NVIDIA is trading in the evaluation of the rock bottom

35 % NVIDIA price correction Its market is placed in evaluating a rock bottom in relation to its standards, broad market, and profit expectations. Trading at 21x consensus 2026 in the early second quarter, the share value is 30 % to 50 % on modern standards and less than the average S&P 500. The arrow has a deeper value for long -term expectations, about 7x consensus number 2035, and it is still valuable to assume that analysts reduce their estimates.

On the assumption of half of the growth only compared to what is currently being priced, the stock remains only 14x profit and value given the cash flow and the public budget. This determines the market to It increases 50 % to 100 % over the next ten years And more if the market continues to decline.

NVIDIA tariff threat: low -influential and short -term

NVIDIA is not completely fortified with the threat of customs tariffs but has yet escaped from the bullet.

Not only the company is working on the beach of more of its production, however The semi -conductors are largely exempt from the definitions. There is a threat that can be targeted, but the effect will be short -term for NVIDIA.

The efforts made to increase local production include a partnership with semiconductor Taiwan Nyse: tsmThat pledged $ 100 million in investment.

This is in addition to the hundreds of billions referred to by the CEO of Nvidia Jensen Huang, specifically for the production of American fine chips.

The money will go towards new and expanded facilities, including the most advanced packages, AI chips from NVIDIA can be produced by 100 % locally.

The sale of NVIDIA reaches a turning point

The sale of NVIDIA reached a turning point in the early second quarter, as it decreased to a new level less than the critical resistance at the level of $ 97. This level is in line with the previous altitudes and support in mid -2014 and may produce significant resistance if there is no rapid recovery.

In this scenario, NVIDIA shares may decrease to $ 80 or less. The step of more than $ 97 will confirm the presence of support at the bottom of the NVIDIA trading scope and is likely to lead to an upward but still -related market.

Among the potential incentives is a decrease in global economic uncertainty and upcoming profit publications. FQ1 is scheduled for the company in May; Analysts expect revenue growth to slow but to 67 % strong, with similar and comparative profit growth.

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