The tech giant Nvidia shows no signs of stopping mammoth growth in 2024 and is trending again in the past 24 hours.
The company, whose value has soared by $2.2tn this year to $3.6tn on the back of near-doubling of chip sales, said it had revenue of $35.08bn, against expectations of $33.15bn. Its profits more than doubled year-over-year. Revenue surged 94% from the same quarter last year. The company projected that revenue would increase by 70% in the coming quarter.
Nvidia shows no signs of stopping mammoth growth
The company rolled out another set of quarterly business results on Wednesday to investors’ delight. Analysts anticipated Nvidia to report earnings of $0.75 per share; the company reported $0.81. Although analysts were undervaluing the reports, the growth was lower than previous quarters, which caused a sudden glitch.
The initial reaction to announcement was one of shock as shares of Nvidia fell about 5% in extended trading following the announcement but soon recouped the losses to remain at a similar price; they previously closed at $145.89 in New York.
Bottlenecks for Nvidia’s chip supply
One of the bottlenecks for Nvidia’s chip supply has been the limited capacity for advanced production techniques at its manufacturing partner TSMC.
The revenue guidance for the fourth quarter was put at $37.5bn compared to a $37bn figure anticipated by market forecasts.
A nice problem to have, beating expectations, yet disappointing over eager investors, but still having massive growth, it is like only being able to get 2 more pints in before last call, instead of 5.
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