NVIDIA Corporation

NVIDIA Corporation (NASDAQ: NVDA) is a company that creates discrete graphics processing units that improve the user experience on computing platforms. The company's chips are used in many applications, including high-end gaming PCs, data centers, and automobile infotainment systems.

Key Highlights:

• The company reported a sharp uptick of 50.30% in revenues to USD 7.10 billion in Q3FY21 (ended October 31, 2021) compared to USD 4.73 billion in Q3FY20.
• NVDA reported a robust increase in net income to USD 2.46 billion in Q3FY21 from USD 1.34 billion in Q3FY20.
• On January 4, 2022, NVDA unveiled more than 160 gaming and Studio GeForce-based laptop designs and new GeForce RTX GPUs and technologies for desktop and laptop computers.
• The company's ROE fell to 11.0% in Q3FY21 from 11.9% in Q2FY21. It also reported a decrease in Return on Invested Capital (ROIC) to 6.9% in Q3FY21 from 7.8% in Q2FY21.
• The stock is currently trading between its critical short-term (50-day) and long-term (200-day) DMA support levels, with the RSI Index at 41.60.
• It is leaning towards the mid-band of the 52-week range of USD 115.66 to USD 346.47.
• The stock price has surged 64.90% and 76.99% in the past nine and twelve months.

 Three-Year Technical Price Chart (as of February 03, 2022). Analysis by Kalkine Group

Conclusion: Considering the company's robust growth prospects, solid margins, shaky return profile, macroeconomic headwinds, and technical indicators, we recommend a "Watch" rating on the stock at the closing price of USD 239.48, down 5.13% as of February 03, 2022.

*The reference data in this report has been partly sourced from REFINITIV.

Ford Motor Company

Ford Motor Company (NYSE: F) is a carmaker that designs, manufactures, markets, and serves a complete array of Ford trucks, utility vehicles, automobiles, and Lincoln luxury vehicles. The company is divided into Automotive, Mobility, and Ford Credit.

Key Highlights:

• Total revenues increased 7.23% to USD 136.34 billion in FY21 (ended December 31, 2021) compared to USD 127.14 billion in FY20.
• Ford's bottom line increased significantly to USD 17.91 billion in FY21, compared to a loss of USD 1.28 billion in FY20.
• However, the company reported a decline in cash flow from operations to USD 15.79 billion in FY21 from USD 24.27 billion in FY20.
• While the company met its annual profitability estimate for 2021, it fell short of production targets due to supply chain issues, notably a persistent scarcity of semiconductor chips.
• Stock is currently trading between its crucial short-term (50-day) and long-term (200-day) SMA support levels.
• The stock is leaning towards the mid-band of its 52-week range of USD 10.84 to USD 25.87.
• Ford's stock price has surged 45.04% and 69.38% in the past six and nine months.

Three-Year Technical Price Chart (as of February 03, 2022). Analysis by Kalkine Group

Conclusion: Considering the topline growth, market dominance in the automobile industry, global chip shortage, and other technical indicators, we recommend a "Watch" rating on the stock at the closing price of USD 19.89, down 3.59%, as of February 03, 2022.

*The reference data in this report has been partly sourced from REFINITIV.