Nvidia Corporation (NASDAQ: NVDA)
Chipmaker giant, Nvidia Corporation reported record earnings and revenue for the first quarter of fiscal 2019. Despite that, its shares slid 2.03% before the bell on May 11 as investors ripped gains from the stock’s incredible run prior to the earnings results.
Stocks of other chipmakers also took a dip in the premarket session Friday with Micron Technology Inc. and Advanced Micro Devices Inc. losing 0.66% and 1.48% repsctively.
NVDA Earnings & Outlook
NVDA posted a net income of $1.24 billion, or $1.98 a share, versus $507 million, or $0.79 a share that the company posted in the same period last year. Adjusted earnings per share was $2.05 on a revenue of $3.21 billion. In the same period last year, Nvidia posted a revenue of $1.94 billion. Analysts were anticipating a revenue of $2.89 billion and earnings per share of $1.46.
The company said its gaming cards sales grew by 68% to $1.72 billion, versus the $1.61 billion figure that analysts had been expecting. The company’s sales of datacenters stood at $701 million, or a rise of 71%, rather than the $656 million consensus analyst estimate.
Auto-related revenue rose by 4% to $145 million, compared with Wall Street’s $139.5 million forecast. The company estimates a revenue of between $3.04 billion to $3.16 billion for the second quarter of fiscal 2019. Analysts on the hand are anticipating a revenue of $2.95 billion.
$NVDA is a great day trading stock due to it high intraday range so make sure to keep this one on your radar!
Nvidia CEO Comments
Nvidia founder and Chief Executive Officer Jensen Huang offered the following on the company’s performance during the quarter: “We had a strong quarter with growth across every platform. Our data-center business achieved another record and gaming remained strong. At the heart of our opportunity is the incredible growth of computing demand of AI, just as traditional computing has slowed.”
“Crypto miners bought a lot of our GPUs during the quarter, and it drove prices up. And so we’re starting to see prices come down. We monitor spot pricing every single day around the world. And the prices are starting to normalize,” Huang added.
Nvidia Corporation Company Profile
NVIDIA Corporation is a visual computing firm with operations all over the world. The company has two segments of operations: Tegra Processor and GPU. Through the Tegra Processor division, the company avails processors that are designed to enable DRIVE and SHIELD branded platforms; DRIVE software stacks and automotive computers, which offer capabilities of self-driving; SHIELD services and devices that are designed for artificial intelligence, gaming applications and mobile-cloud.
Through the GPU segment, Nvidia offers processors that include GeForce NOW for game-streaming services that are based on cloud technology; GeForce for mainstream PCs and PC gaming; Quadro for professionals working in the computer-aided design sector; GRID for NVIDIA graphics through datacenters and the cloud; DGX for artificial intelligence developers, scientists, and researchers.
Nvidia products are used in automotive, gaming, datacenter, professional visualization markets. The products are available through system builders, original equipment manufacturers, add-in board manufacturers, original device manufacturers, distributors/retailers, cloud and internet service providers, mapping companies, and automotive manufacturers. The company was founded in 1993 and its head offices are based in Santa Clara, California. –Reuters
