Options positions indicate that NVIDIA's quarterly results may bring over $300 billion in market value fluctuations

NVIDIA (NVDA.US) is expected to announce its quarterly results after the close of the U.S. stock market today (19th). According to data from the analysis company Option Research & Technology Services cited by Reuters, the implied stock price of NVIDIA options may rise or fall by about 7% after the earnings announcement, potentially triggering a market value fluctuation of $320 billion, surpassing the $276 billion increase in market value the day after the earnings announcement in February 2024, which was the largest fluctuation for the company after announcing earnings. The report cites the company's data indicating that NVIDIA has averaged a volatility of 7.3% the day after announcing results over the past 12 quarters.

NVIDIA accounts for about 8% of the S&P 500 index, and its market leadership in the artificial intelligence sector makes this quarterly result even more significant. The stock has risen over 30% this year, but has fallen more than 10% since its historical high at the end of last month. Recently, the stock has been pressured by news of reductions in holdings by investors, including hedge funds of Peter Thiel and SoftBank (9984.JP)