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This month, Nvidia (#NVDA) announced a four-for-one stock split that'll make the high flying tech stock more affordable to investors and employees. Because the stock is trading at $628 and is expected to be into fourths, which would put it at $157, many investors are wondering if the stock is a buy.
Instead of questioning the split, investors should really be analyzing the earnings to calculate if the stock is a buy. This evening, #Nvidia announced their Q1 earnings and beat expectations. The company reported Non-GAAP EPS of $3.66 (beats by $0.38) and revenue of $5.66B (+83.8% Y/Y).
If the balance sheet is strong and revenues are increasing, then that may be a good sign that the stock is a buy.