Nvidia's Fundamentals Remain Strong Despite Mixed Technical Signals

Nvidia's fundamentals remain strong, but its technical signals are sending mixed messages.

The company delivered exceptional results in the latest quarter, with revenue reaching $96.2 billion, up 106% year-over-year, and adjusted EPS coming in at $2.22 versus the $2.08 consensus.

Data Center revenue climbed 117% year-over-year, and management expects another record quarter with around $108 billion in revenue for the next quarter.

The bullish case is difficult to ignore, with Nvidia delivering four consecutive quarters of accelerating year-over-year growth, gross margins approaching 75%, demand exceeding supply, and consistent beatings of guidance.

However, technical patterns are less certain. A previous inverse head-and-shoulders pattern was invalidated, making it a failed structure.