To Nvidia and Beyond: Sometimes Being Great Isn't Enough

When a popular stock doesn't shoot higher after a blowout quarter, the reasons are pretty easy to sniff out. A stock can be richly valued, and even a classic "beat and raise" performance doesn't justify the lofty forward multiples. Sometimes analysts get so far ahead of a company's guidance that exceeding its public expectations still falls short of where Wall Street pros were perched. There could also be subtle hints that storm clouds are looming in the distant future, beyond the near-term enthusiasm.Nvidia (NASDAQ: NVDA) delivered spectacular results on Wednesday afternoon. It posted the kind of growth that you would never fathom from the wearer of the market cap crown. It didn't check off any of the three obvious scapegoats of market disconnect I singled out earlier. The initial market's reaction was unimpressed. The shares inched slightly lower in after-hours trading, recovering to a flattish performance come Thursday morning ahead of the market open.Has investing in Nvidia become like living in Hogwarts School of Witchcraft and Wizardry? Are the artificial intelligence (AI) bellwether's perpetual feats of bar-raising magic so commonplace that they no longer titillate or stand out? There is still plenty to like amid the chorus of yawning. Let's dig into the joys of market apathy.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool