Prediction: Nvidia Stock Is Going to Soar After Nov. 17

Nvidia (NVDA) stock is poised for a significant recovery after its November 17 earnings report, according to analysts. The company supplies the most powerful data center GPUs used for AI model development and operations. Nvidia's shares reached a record high of $239.24 last month before declining 24% as of Nov. 5. Investors are concerned that the AI infrastructure boom could lose momentum following the U.S. midterm elections, as some newly elected Democratic officials have pledged to be more cautious about data center development and approvals.

However, Nvidia is expected to provide clarity on the state of AI spending after releasing its financial results for the fiscal third quarter ending Oct. 31. Nvidia recently started shipping its new Vera Rubin data center systems, which offer up to 30 times more performance in certain workloads and can reduce inference token costs by 97%.

These improvements could make deploying AI software more affordable and lead to increased AI adoption, spurring demand for chips. Nvidia CEO Jensen Huang has stated that every frontier AI company plans to adopt Vera Rubin at launch, indicating a strong market reception. Wall Street estimates Nvidia's revenue growth to be around 70% in its next fiscal year, potentially reaching nearly $700 billion.

Despite these optimistic forecasts, the recent midterm elections have caused Nvidia's stock to decline. Investors will be eager to hear whether any changes have occurred before Nov. 17, as the company's stock appears undervalued with a price-to-earnings ratio of 22.9, significantly lower than the Nasdaq-100's 29.9. A positive earnings report and Huang's reassurance regarding chip sales doubling next year could lead to a significant rebound in Nvidia's stock price.