EconomyLens.com
No Result
View All Result
Thursday, July 10, 2025
  • Home
  • Economy
  • Business
  • Markets
  • Tech
  • Editorials
EconomyLens.com
  • Home
  • Economy
  • Business
  • Markets
  • Tech
  • Editorials
No Result
View All Result
EconomyLens.com
No Result
View All Result
Home Other

AI chip giant Nvidia beats expectations, but shares take hit

Andrew Murphy by Andrew Murphy
August 30, 2024
in Other
Reading Time: 6 mins read
A A
0
50
SHARES
626
VIEWS
Share on FacebookShare on Twitter

Jensen Huang, CEO of Nvidia, which overtook Microsoft and Apple as the world's most valuable publicly traded company. ©AFP

San Francisco (AFP) – Artificial intelligence behemoth Nvidia on Wednesday said quarterly sales reached a higher than expected $30 billion in the last quarter, though that growth was slower than the furious pace seen in previous quarters. Declared by Wall Street to be the world’s most important stock, the California-based AI chip-maker led by CEO Jensen Huang saw its share price fall by about four percent in after hours trading.

Related

Delta offers upbeat outlook on travel demand, lifting shares

Snap, crackle and pay: Ferrero to buy WK Kellogg for $3.1 bn

Wall Street stocks stall, London hits record high

EU opens new probe into TikTok data transfer to China

London stocks hit record high on tariff optimism

Even though sales and profit, which hit $16.5 billion in the period, more than doubled from a year earlier, investors showed nervousness that Nvidia’s extraordinary growth, spurred by the AI frenzy, may be showing signs of normalization. The world’s biggest tech companies have invested tens of billions of dollars, quarter after quarter, into Nvidia’s powerful AI chips and software in order to get their ChatGPT-style AI models up and running. Microsoft, Google, Meta, Tesla, and Amazon all depend on Nvidia technology to train generative AI models and execute the heavy computing workloads needed to deploy the new technology.

Ahead of the latest earnings, Nvidia’s share price was up about 160 percent year-to-date and has accounted for a third of the broad-based S&P 500 index’s gains this year. Nvidia stock wavered in July, as investor sentiment hesitated over whether generative AI will be a money-making enterprise anytime soon. But in recent weeks, Nvidia’s share price has been back on its historic tear, nearing the heights of a few months ago when the firm was very briefly the world’s most valuable company when measured by stock valuation. The market had expected the company to post sales at about $28 billion, more than double from a year ago.

“Nvidia once again delivered spectacular results, beating expectations with margins that rival its previous blockbuster quarters, despite growing economic uncertainties and AI bubble concerns,” said Emarketer technology analyst Jacob Bourne. Nvidia’s financial postings have become must-see events on Wall Street after the company has repeatedly crushed expectations, many times tripling its revenue and profit.

– ‘Disappointed a touch’ –

But some analysts worried that Nvidia was slowly coming down to earth with its latest earnings, as stellar as they might be. “It’s less about just beating estimates now — markets expect them to be shattered, and it’s the scale of the beat today that looks to have disappointed a touch,” said Matt Britzman, senior equity analyst at Hargreaves Lansdown.

Traders also focused on Nvidia’s forecast that next quarter’s revenue will be about $32.5 billion. Though this was better than the average of analyst predictions, it left some observers disappointed that the days of triple-digit growth were over. Investors were also laser-focused on any potential delays to Nvidia’s new generation Blackwell line of technology, the successor to the best-selling Hopper line of AI chips that thrust the company onto the world stage. CEO Huang said the new product line would ship at scale to clients in the coming months, with its previous generation of AI chips expected to maintain very strong sales.

© 2024 AFP

Tags: generative AINvidiatechnology
Share20Tweet13Share4Pin5Send
Previous Post

Durov: mysterious and controversial Telegram founder

Next Post

Telegram boss Durov charged, banned from leaving France

Andrew Murphy

Andrew Murphy

Related Posts

Other

London hits record as trade deal hopes fan rally on markets

July 10, 2025
Other

Japan’s sticky problem with Trump, tariffs and rice

July 10, 2025
Other

Trump hits Brazil with 50% tariff, sets date for copper levy

July 10, 2025
Other

Global stocks mostly up despite new Trump tariffs, Nasdaq at record

July 9, 2025
Other

AI giant Nvidia becomes first company to reach $4 tn in value

July 10, 2025
Other

Trump broadens push for tariff deals, unveils 50% Brazil levy

July 9, 2025
Next Post

Telegram boss Durov charged, banned from leaving France

California lawmakers pass AI safety bill

Qantas profits descend as fares fall after Covid

Pessimism dogs eastern Germany despite economic gains

0 0 votes
Article Rating
Subscribe
Notify of
guest
guest
0 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments
  • Trending
  • Comments
  • Latest

New York ruling deals Trump business a major blow

September 30, 2024

Elon Musk’s X fights Australian watchdog over church stabbing posts

April 21, 2024

Women journalists bear the brunt of cyberbullying

April 22, 2024

France probes TotalEnergies over 2021 Mozambique attack

May 6, 2024

Ghanaian finance ministry warns against fallout from anti-LGBTQ law

74

New York ruling deals Trump business a major blow

72

Shady bleaching jabs fuel health fears, scams in W. Africa

71

Stock markets waver, oil prices edge up

65

Wall Street stocks stall, London hits record high

July 10, 2025

EU opens new probe into TikTok data transfer to China

July 10, 2025

Volkswagen halts electric minivan exports to the United States

July 10, 2025

Italy probes UK online bank Revolut for ‘misleading’ clients

July 10, 2025
EconomyLens Logo

We bring the world economy to you. Get the latest news and insights on the global economy, from trade and finance to technology and innovation.

Pages

  • Home
  • About Us
  • Privacy Policy
  • Contact Us

Categories

  • Business
  • Economy
  • Markets
  • Tech
  • Editorials

Network

  • Coolinarco.com
  • CasualSelf.com
  • Fit.CasualSelf.com
  • Sport.CasualSelf.com
  • SportBeep.com
  • MachinaSphere.com
  • MagnifyPost.com
  • TodayAiNews.com
  • VideosArena.com
© 2025 EconomyLens.com - Top economic news from around the world.
No Result
View All Result
  • Home
  • Economy
  • Business
  • Markets
  • Tech
  • Editorials

© 2024 EconomyLens.com - Top economic news from around the world.