Invidious Comparison
Amidst the Nasdaq’s Friday blood-letting, there actually were a few rays of
hope in tech-land. 3D graphics processor-maker NVIDIA
(
NVDA |
Quote |
Chart |
News |
PowerRating) jumped 3 1/16
to 56 7/16 on more than double-average volume to put itself back above its
200-day moving average.
NVIDIA had completed a two-month base and had pulled back over the past two
weeks. What was constructive for the stock during that time was that it found
support along its 50-day moving average. A better-than-expected earnings report
on Wednesday combined with a polished performance at the Robbie Stephens tech
conference to give NVIDIA the jolt it needed to avoid Friday’s Nasdaq swoon.
NVDIA’s 38 cent-per-share-earnings topped estimates by a penny and leave the
4 billion market cap company with a PE of 45, which is quite reasonable for a
tech these days even after the nearly year long technology bear market. Notice
this week’s surge in volume that accompanied Friday’s move.
Until Tuesday,
Eddie