Zacks Investment Ideas feature highlights: Vertiv, Nvidia and Palantir

For Immediate ReleaseChicago, IL – January 16, 2025 – Today, Zacks Investment Ideas feature highlights Vertiv VRT, Nvidia NVDA and Palantir PLTR.3 Key AI Reports to Watch This Earnings SeasonThe 2024 Q4 earnings season is gearing up to kick into a much higher gear following the release of the big banks’ results.It looks to be another positive period, underpinned by strong and continued growth from tech. And as expected, all eyes will be on the AI/Data Center players, a trend we’ve become accustomed to over the last several years.Let’s take a closer look at how expectations stack up for Vertiv, Nvidia and Palantir.Nvidia Remains AI LeaderLikely the most important release of the earnings cycle yet again, AI-favorite Nvidia is set to reveal its quarterly results in mid-February. Though the stock is a late reporter, we’ll likely see some readthrough from other AI players leading up, such as Advanced Micro Devices.The stock hasn’t done much in recent months, essentially flat on a three-month basis following an immense run. But both top and bottom line expectations have moved higher over the last several months, with the stock continuing the sport a favorable Zacks Rank #2 (Buy).The company is expected to see 61% EPS growth on 70% higher sales, expected to be driven by another robust period of Data Center results. Below is a chart illustrating the company’s immense sales growth on a quarterly basis.Nvidia’s Data Center results have blown away our consensus expectations easily, with the most recent beat totaling a sizable $1.8 billion. It’s more than reasonable to expect another robust period here, with demand for AI-related offerings continuing to remain strong.Palantir Sees Huge Demand WavePalantir has thrust itself into the middle of the AI frenzy following rock-solid quarterly results stemming from strong demand, with shares delivering nearly a +300% gain over the last year.EPS revisions for the quarter to be reported have been stagnant over recent months, but the top line outlook has brightened nicely, with the $779 million expected up 4% over the same period.The stock has cooled off so far in 2025, losing roughly 12% and underperforming. Nonetheless, another strong quarterly release could likely perk shares back up and get buyers interested again, with the AI story certainly not going anywhere anytime soon.Alexander Karp, CEO, after its latest Q3 results, ‘We absolutely eviscerated this quarter, driven by unrelenting AI demand that won’t slow down. This is a U.S.-driven AI revolution that has taken full hold. The world will be divided between AI haves and have-nots. At Palantir, we plan to power the winners.’Vertiv to Continue Outsized Sales GrowthVertiv provides services for data centers, communication networks, and commercial and industrial facilities with a portfolio of power, cooling, and IT infrastructure solutions and services.Scorching-hot demand has aided quarterly results, with Vertiv exceeding the Zacks Consensus EPS estimate by an average of 10% across its last four releases. The company’s top line has expanded nicely amid the frenzy, with VRT posting double-digit percentage year-over-year revenue growth in seven consecutive releases.A late positive EPS revision for the quarter to be reported recently hit the tape, with the $0.84 per share expected suggesting 50% year-over-year growth. Top line expectations haven’t budged much, with forecasted sales of $25.1 billion 15% higher than the year-ago period and continuing the recent growth streak.Valuation multiples have expanded amid big growth expectations from investors, but the current 0.9X PEG ratio reflects both value and growth.Bottom LineWe’ll see the 2024 Q4 earnings cycle kick into a much higher gear following the release of the big banks’ results. And concerning the AI/Data Center frenzy, all three reports from the companies above should be closely monitored by investors.Why Haven't You Looked at Zacks' Top Stocks?Since 2000, our top stock-picking strategies have blown away the S&P's +7.0 average gain per year. Amazingly, they soared with average gains of +44.9%, +48.4% and +55.2% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.Zacks Names #1 Semiconductor StockIt's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NVIDIA Corporation (NVDA): Free Stock Analysis Report Vertiv Holdings Co. (VRT): Free Stock Analysis Report Palantir Technologies Inc. (PLTR): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks