Nvidia will announce its earnings after the close today. Sharea are lower today with the price trading down about -$3.00 or -2.10%. at $144.00. The all-time high closing level is at $148.88.
What are the expectations?
Earnings Expectations
Adjusted quarterly earnings: $0.74 per share versus $0.40 last year (85% YoY increase)
Revenue: $33.2 billion versus $18.12 billion last year (84% YoY increase)
Fiscal Q4 sales guidance: $37.7 billion (KeyBanc estimate, down from $40 billion)
Fiscal Q4 earnings outlook: $0.83 per share (KeyBanc estimate, down from $0.88 per share)
Analyst Sentiment
90% of Wall Street analysts recommend buying the stock
KeyBanc maintains Overweight rating and $180 price target
Drivers
Strong demand for AI infrastructure and Blackwell AI chips. Jensen Huang called demand for it's newest Blackwell chip "insane" back on October 3
Growing demand in robotics and traditional computing sectors
Emerging demand from AI software developers
Challenges
Reported overheating issues with Blackwell servers (unconfirmed by Nvidia)
Supply chain challenges around production ramp
Increased pressure among China hyperscalers to use domestic AI solutions.
Last quarter earnings came in at $0.68 versus $0.647 estimate. Revenues were at $30.04 billion versus $28.74 billion. Shares fell -6.38% from $125.61 to a closing level to $117.59 the next day. The price fell -18.14% to its low close on September 6 at $102.83 before starting its rebound to the upside which reached a new record level of $149.77 intraday on November 8.
Shares in 2024 are up about 192%
