Nvidia beats

NVIDIA Corporation (NASDAQ:NVDA) late Thursday posted better than expected fourth quarter earnings and offered an in-line outlook for Q1.
The Santa Clara-based graphics processor maker reported Q4 EPS of $1.13, which was a full $0.15 better than the Wall Street consensus estimate of $0.98. Revenues surged 54.9% from last year to $2.17 billion, also topping analysts’ $2.1 billion view.

Looking ahead, NVDA forecast Q1 revenues of $1.90 billion, plus or minus 2%. That implies a range of $1.86 to $1.93 billion, which would be in-line with Wall Street’s $1.87 billion estimate.

NVIDIA also said it now plans to return $1.25 billion to shareholders via dividends and buybacks in fiscal 2018, up from prior guidance of $1.2 billion.

as is often the case NVDA down after hours. It was down after hours for TWLO yesterday but the stock did fine in regular trading. The big up was revenues , at this early stage of AI it’s more important than earnings

I am happy- 54% compounded growth over a few years will do wonders. So do stock buybacks ad dividends. But with the high P/E I would prefer more dividends. Save the buy backs for a possible stock crash price. Or be a bit less generous with management options .

IF AI prospers so will NVDA. And since the boost of interest in AI is due to several converging factors it probably will continue for a few years. For one, auto automation is still a fledgling. It will fly later.

5 Likes

Nvidia’s core business, graphics processors for high-end videogame play, grew an astounding 66% for the quarter and 44% for the full year. Meanwhile, the traditional businesses at other chip makers, like Intel’s PC business, are lucky to see single-digit growth. And while Intel and others speak highly of potential for next-generation businesses, Nvidia has already found growth in new segments fueled by 12 years of work developing machine learning and artificial intelligence. In the quarter, Nvidia showed strong revenue growth from its deep-learning exploits: professional visualization was up 11%, data center soared 138% and automotive climbed 52%.
http://www.marketwatch.com/story/nvidia-shows-why-it-is-the-…

so it’s doing great in old core businesses, still growing a lot, and great in new businesses that have barely started.

What’s not to like?

after hours a wash but I expect old highs to be broken soon. There are lots of shorts out there who will have to wait 3 months before any solid news. Meanwhile having to depend on themselves to invent bogus bad news. A circular firing squad…

4 Likes