Nvidia Needs Supersized Earnings Beat to Keep Rally Alive: Here's What to Watch

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Nvidia will publish its quarterly results after the closing bell today.Subscribe to InvestingPro for less than $9 a month and learn which stocks to buy and which to shun, whatever the market conditionsThe chipmaker is reporting results later than most major tech companies typically report, but anticipation remains higher than ever nonetheless.

A stellar earnings report could further solidify Nvidia's position and send a positive signal to the broader technology sector.% over the past 90 days. Another risk to consider is the company's forecasts for the coming quarters. Indeed, cautious guidance could cancel out the positive impact of exceeding expectations.This is all the more true given that Nvidia shares are currently close to their all-time highs, up 92% year-to-date and 206% year-on-year, so it wouldn't take much to trigger a wave of profit-taking.

Even the slightest disappointment could trigger a violent downward reaction, not just from Nvidia, but from the market as a whole.There are several options available to help investors identify the technology stocks most likely to"take over" from Nvidia and soar with them. One such option is InvestingPro's ProPicks Tech Titans portfolio.

 

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