Tech Stock Roundup: Nvidia Beats Expectations, Gains Fisher Bet; Eyes on Dell

• Nvidia’s third-quarter earnings exceeded expectations, driven by robust growth in its Data Center sector.
• Ken Fisher has increased his positions in Nvidia and Microsoft, recognizing their dominant roles in the AI environment.
• In the meantime, investors are looking at Dell’s third-quarter results.

Nvidia continues to lead the tech sector, surpassing expectations with strong third-quarter earnings driven by booming demand for its artificial intelligence and data center chips.

Meanwhile, Ken Fisher, the billionaire investor and founder of Fisher Investments, has placed significant bets on AI-focused companies like Nvidia and Microsoft, underscoring the importance of strategic timing in market cycles.

Nvidia Beats Expectations

Nvidia exceeded expectations in its third-quarter earnings, reporting  adjusted EPS of $0.81 – against $0.75 expected – and revenue of $35.08 billion, compared to an estimated $33.16 billion.

Net income surged to $19.3 billion, driven by strong demand for data center chips, generating $30.8 billion—up 112% year-over-year. Gaming revenue also beat expectations at $3.3 billion.

Looking ahead, Nvidia forecasts $37.5 billion in fourth-quarter revenue, slightly above analysts’ estimates . Annual growth is projected at 70%, though slower than in previous quarters.

The company’s AI hardware dominance continues, fueled by its H100 and H200 GPUs and the expansion of its flagship Blackwell GPUs, which are now in full production.

Despite a 94% year-over-year revenue jump, Nvidia’s growth rate is decelerating. However, its market cap has reached $3.48 trillion, surpassing Apple’s $3.40 trillion, with the stock up 187% year-to-date.

Future growth is expected through ongoing AI and data center initiatives, though market risks from Fed policies remain.

MicroStrategy on a Rollercoaster

MicroStrategy’s stock  increased 25% last week but experienced notable volatility, particularly on Thursday, when shares dropped by 16%.

The tech firm, known for its Bitcoin holdings, faced a significant setback after Citron Research took a short position against its stock.

Despite this decline, investor and analyst sentiment  toward MicroStrategy remains positive, with strong confidence in its future prospects.

The drop in MicroStrategy stock came after Citron Research revealed  it had shorted the company’s shares, which had surged by 500% this year.

However, despite Thursday’s dip, the stock has climbed more than 50% since Donald Trump’s election win earlier in November. Bitcoin rose about 30% during the same period, reaching a record high of $98,000 on Thursday.

MicroStrategy  made another major purchase of 55,500 Bitcoins between Nov. 18 and 24, bringing its total Bitcoin holdings to approximately $38 billion, making it the largest publicly traded corporate holder of the digital asset.

Fisher Bets on AI Stocks

Ken Fisher, founder and executive chairman of Fisher Investments, emphasized  the importance of timing in investment cycles. He noted the first and second years of market cycles often yield mixed results, with markets rising only about 60% of the time.

However, gains tend to be significant when they occur, making 2025 a pivotal year to “get it right.” Fisher, with a net worth of $11.2 billion, is betting heavily on AI, focusing on giants like Nvidia and Microsoft.

Fisher recently acquired 3.3 million shares of Nvidia, now his third-largest holding, worth $481.5 million. He sees Nvidia maintaining its dominance, thanks to its robust supply chain and full-stack AI ecosystem.

Analysts rate the stock a Buy  with a price target of $175, implying a 23% upside.

Once the top market cap leader, Microsoft remains a key player in technology and AI. Despite concerns about slowing Azure growth, Fisher increased his Microsoft stake by 636,713 shares in the third quarter, making it his second-largest holding.

Both Nvidia and Microsoft enjoy strong analyst support, with consensus ratings of Strong Buy and projected double-digit gains over the next year.

Awaiting Dell’s Results

Dell Technologies (DELL) will report its fiscal third-quarter 2025 results on November 26. The company expects revenues between $24 billion and $25 billion, with a midpoint of $24.5 billion, reflecting 10% growth. Earnings per share are projected at $2.00.

The consensus  revenue estimate is $24.53 billion, suggesting a 10.25% year-over-year increase. The consensus for earnings is $2.05 per share, indicating a 9.04% growth from last year.

Dell has exceeded earnings expectations in the last four quarters, with an average earnings surprise of 16.32%.

Some analysts  consider Dell to be well-positioned for strong results, driven by demand for AI-optimized servers. AI-related server sales were up 23% sequentially in the second quarter.

However, declining consumer revenues and flat commercial client sales may affect growth, especially due to sluggish PC shipments. Gartner reported a 3.9% drop in Dell’s PC shipments for the third quarter, the largest among major vendors.

Year-to-date, Dell shares have surged by 82%, outperforming  the microcomputer industry, which rose by 20%. Dell has outperformed peers like HPQ, Apple, and Lenovo in 2024, with Lenovo seeing a 15.2% decline.