Nvidia Stock's Short Interest and Market Dynamics
Nvidia Stock Performance Overview
Late November 2024 brought a stock market twist for semiconductor giant Nvidia (NASDAQ: NVDA), as the shares entered a notable decline after the company posted an otherwise strong quarterly report. Specifically, NVDA shares retreated 6.48% in the last five sessions to Nvidia stock price today of $135.46.
Understanding Short Interest in NVDA
The downward trading has raised the question of whether an increase in bearish bets accompanies the evident selling pressure or if most traders are confident that NVDA stock will bounce back. As it turns out, the relatively protracted decline has not resulted in a notable uptick in short positions targeting Nvidia shares, per the data retrieved on November 28 from Fintel.
- Short ratio stood at 38.94 on November 27, near its 10-day lows.
- The ratio ran as high as 58.49 and 58.04 on November 15 and 22.
Factors Affecting Nvidia's Market Sentiment
The lack of bold short positions can be explained by the dissonance between Nvidia's earnings reports, analyst forecasts, and price action. Despite slightly below expectations in forward guidance, the company exceeded most forecasts and recorded significant growth.
- The stock is up 731.84% in the last two years.
- A correction to $130 is plausible unless significant market influences occur.
Finally, Nvidia's upcoming quarterly results on February 2, 2025, will be critical in determining future stock movements.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.