Why Nvidia’s Earnings Are Crucial for the Entire US Stock Market
Nvidia has once again made headlines with its earnings report, beating Wall Street expectations and establishing its leadership in the AI and semiconductor industry. The company's Q4 2024 earnings revealed revenue of $22.1 billion, marking a 265% year-over-year growth. This significant increase was mainly influenced by the high demand for AI chips and data center solutions.
NVIDIA's Stock Performance Over the Past Week:
Date
Opening Price (USD)
Closing Price (USD)
Daily High (USD)
Daily Low (USD)
Volume (Shares)
Feb 18, 2025
141.27
139.40
143.44
137.93
219,176,627
Feb 19, 2025
139.51
139.23
141.36
137.22
167,536,006
Feb 20, 2025
140.03
140.11
140.66
136.79
143,903,583
Feb 21, 2025
140.04
134.43
141.46
134.03
228,217,585
Feb 24, 2025
136.56
130.28
138.59
130.08
251,381,137
Stock markets were closed on February 22 and 23, 2025, for the weekend. During this time, NVIDIA's stock price fell from $139.40 on February 18 to $130.28 on February 24. The highest trading volume happened on February 24, with over 251 million shares traded.
As of February 25, 2025, at 2:59 PM UTC, NVIDIA's stock is priced at $127.38. This is a drop of $2.90, or about 2.23%, from the last closing price. So far, the stock has traded between $126.03 and $131.94, with a total volume of 52,473,682 shares.
Nvidia's strong performance had a ripple effect across major US stock indexes. The S&P 500 and Nasdaq Composite both saw a significant boost following the announcement, with tech-heavy indexes benefiting the most.
Why Nvidia's Earnings Matter
Nvidia's stock movements have a significant influence on the entire US stock market. As of February 2025, Nvidia accounts for approximately 5% of the S&P 500 and nearly 8% of the Nasdaq 100, meaning any significant change in its share price directly affects these indexes performance.
Expert Insights
Dan Ives from Wedbush Securities-
"Nvidia's blowout earnings reaffirm the company's dominance in the AI revolution. Its success serves as a strong tailwind for the entire tech sector."
What Lies Ahead for Nvidia?
CEO Jensen Huang highlighted ongoing partnerships with major tech giants like Microsoft and Google, aimed at developing next-generation AI infrastructure.
Nvidia’s earnings report is more than just a corporate milestone; it’s a reflection of the growing influence of AI technology on global markets. As Nvidia continues to break records and push technological boundaries, its impact on the US stock market and the global economy is set to grow even stronger.