This week’s Alpha Algorithm revisits NVIDIA Corporation (NVDA), the emerging tech giant at the forefront of the virtual reality boom.
You’ve already booked double-digit-percentage gains in this stock, which the Alpha Algorithm had identified back on Nov. 17. Although you hit your stop price in a short-term pullback in the stock in January, last week two additional Alpha Algorithm strategies selected NVIDIA as a top pick. Today, a whopping 10 Alpha Algorithm strategies are now targeting the stock.
Founded in 1993 and headquartered in Santa Clara, California, NVIDIA Corporation (NVDA) is a visual computing company. It offers processors for PC gaming, design professionals working in computer-aided design, video editing, special effects, deep learning, accelerated computing and general purpose computing. NVIDIA sells its products primarily to original equipment manufacturers, original design manufacturers, system builders, motherboard manufacturers, add-in board manufacturers and retailers/distributors.
NVIDIA vs. the S&P 500 over one year.
10 Top Investment Strategies Betting on NVIDIA (NVDA)
- Large-Cap Growth
The stock is among the top 50 large-capitalization U.S. growth stocks generated through a rigorous 10-factor fundamental screening process.
- Large-Cap Alpha Growth
NVIDIA has been chosen as part of an alpha-seeking index that selects and weights growth stocks from the S&P 500 Growth Index. The proprietary methodology uses price appreciation — among more traditional factors — and weights the constituents based on their respective growth scores.
- Pure Growth
The company is part of a strategy that selects companies from the S&P 500 Index, based on three growth factors: current internal growth rate, historical earnings per share (EPS) growth and historical sales/share growth.
- Fundamental Strength
NVIDIA is a top U.S. stock based on fundamentals measured by book value, cash flow, sales and dividends.
- Momentum Factor
The stock is one of the top 120 large- and mid-cap U.S. stocks exhibiting relatively higher price momentum, as measured by a specific factor which has historically driven a significant part of public companies’ risk and return.
- Momentum Model
The stock is among the top approximately 100 U.S.-listed companies to demonstrate powerful strength characteristics relative to the 3,000 largest U.S.-listed companies.
- Large-Cap Momentum
The stock is part of a major hedge fund’s systematic strategy that invests in large- and mid-cap U.S. companies with positive momentum and that rank in the top third of total return over the prior 12 months, excluding the last month.
- Exponential Technologies
The stock is part of a strategy that invests in nine different fields deemed to be vast growth “exponential technologies”: big data and analytics, nanotechnology, medicine, networks, energy and environmental systems, robotics, 3-D printing, bioinformatics and financial services.
- Broker’s Best
One of Raymond James’ selection of stocks expected to outperform the S&P 500 over either a six- or 12-month period.
- IBD Top Fifty
NVIDIA is a Top 50 stock based on Investor’s Business Daily’s proprietary trading formula to identify 50 stocks that meet one of seven different catalysts. The “CAN SLIM” strategy identifies companies with either fundamental (improving earnings or new product) or technical (upward stock move on strong volume) catalysts.
Buy NVIDIA Corp (NVDA) at market today. Place your initial stop at $93.50.
With the stock up over 4% yesterday alone, I am holding off on recommending any related options until the recent volatility settles.
You were stopped out of Microsoft (MSFT) at $64.50 for a 16.39% gain.
You were stopped out of Amazon.com (AMZN) at $827.30 for a 10% gain.
With your Comcast Corporation March $72.50 calls (CMCSA170317C00072500) up 28%, sell half of your options here to lock in these quick gains.
Nicholas A. Vardy