To The Moon

$NVIDIA(NVDA)$  

Prediction of Nvidia's Share Price After Earnings on 28 May 2025 – and What Position to Take

No one has a crystal ball to accurately predict whether the price will go up, down, or sideways. We can only rely on past data and our gut feeling to forecast the movement. Over the past 12 quarters, Nvidia has seen more price increases than declines following earnings announcements. The worst performance was last quarter, with the stock dropping about 8%.

So, would I dare to contra this stock using Cash Boost? Most likely not, as the odds feel like a coin toss—50/50—and I'm not comfortable with those chances.

How can I increase my odds of making a profit ahead of the earnings report?

Selling puts seems to be a more viable strategy. If the share price goes up, stays flat, or even drops (but remains above the strike price), I get to keep the full premium.

But what's the ideal strike price to set in order to maximize premiums? Ideally, if you knew the closing price on Friday, 30 May (say, $145), you could sell a put at $144 to collect the maximum premium—but of course, no one can predict that. LOL.

So, if we take the current share price of $131 and apply a 10% discount, we get around $118. That could earn an estimated premium of $90. If you're more bullish, you might opt for a smaller discount. For those expecting the price to stay near $131, you could collect an estimated $500 in premium—pretty decent, given that expiration is this Friday, 30 May 2025.

I'm probably going to sell puts with a strike price in the $120+ range since I'm feeling optimistic, and I'll also consider selling at the current price level.

How about you? 

Any good ideas to profit from NVDA's earnings?