The wait is over. Since the disappointing results of Tesla and Apple, members of the Magnificent Seven, were known, investors have identified in Nvidia’s accounts the thermometer to accurately measure the temperature of the AI boom in the stock market. Additionally, Nvidia’s results were also identified as the perfect balance to gauge the weight of the portfolio rotation from large caps to small caps, which has emerged in the heat of increased rate cuts. Thus, the big tech company reported results that beat expectations, but which They left the market cold.
The magnificent company led by Jensen Huang has presented the results of the second quarter of its financial year. Nvidia has reaped record revenues of $30 billiona figure higher than the expected $28.86 billion. This represents an increase of 122% compared to the same period in 2023, as well as an increase of 15% compared to the first quarter.
Similarly, the company has obtained certain profits of $16.6 billion compared to the $6.18 billion obtained last year. In other words, it made a profit of 68 cents per share, against 64 cents per share predicted by experts. Similarly, the company announced a $32.5 billion forecast for the third quarteragainst forecasts of $31.9 billion.
At the same time, Nvidia’s data centers generated revenue of $26.3 billion, 16% more than in the first quarter, and an increase of 154%. In this sense, Jensen Huang recognized that Nvidia has achieved revenue records thanks to the fact that data centers are operating at high speed to modernize all computing, thanks to generative AI.
However, the company’s stumbling block is Blackwell, the new AI superchip, which has encountered some problems. This has been acknowledged by the company, which has nevertheless stressed that the new semiconductor design will bring it “multi-billion dollars in revenue.” Furthermore, Jensen Huang stressed that, despite everything, the initial demand for Blackwell has been “incredible,” recalling that orders for the current Hopper chip are still strong.
Another important news provided by Nvidia was the announcement of the stock repurchase estimated at $ 50 billion. However, the company recorded declines of more than 3% outside normal hours.
