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[LordOfChaos]

Nvidia Earnings: Stock Rallies As AI Giant Reports 600% Profit Explosion, 10-For-1 Stock Split

Results are in for Nvidia’s monumental earnings report.

www.forbes.com

Also strongly dropping hints of an Nvidia Windows on ARM chip next year, plus the Switch 2, which are nice cherries on their AI pie.

Nvidia reported $6.12 earnings per share and $26 billion of sales for the three-month period ending April 30, shattering mean analyst forecasts of $5.60 and $24.59 billion, according to FactSet.
Nvidia’s profits and revenues skyrocketed by 628% and 268% compared to 2023’s comparable period, respectively.
This was Nvidia’s most profitable and highest sales quarter ever, topping the quarter ending this January’s record $12.3 billion net income and $22.1 billion revenue.
Driving the numerous superlatives for Nvidia’s financial growth over the last year is unsurprisingly its AI-intensive datacenter division, which raked in $22.6 billion of revenue last quarter, a 427% year-over-year increase and a whopping 20 times higher than the $1.1 billion the segment brought in in 2020.
Nvidia also announced it will conduct a 10-for-1 stock split June 7, which would trim its share price from about $950 to $95 while maintaining the company’s total valuation, enabling investors and employees to more affordably purchase whole shares.
Nvidia’s stock popped 4% immediately after the release, sitting at what would be an all-time high in regular trading hours.

AMD's comparable AI chips are almost 1/4th less expensive at 10-15K vs 30-35K, yet Nvidia retains quasi unlimited demand for now and they say likely well into next year. Insane.

 

[Tomi]

Now imagine rtx 5xxx series announcement at Computex 2024
Money all around

 

[Imtjnotu]

And yet the 5k cards will be overpriced

 

[analog_future]

Jesus

 

[Unknown Soldier]

Shareholders eating good, again

Wew lads 10 to 1 stock split tho

Any NVDA put holders here? LMAO

 

[GHG]

And some of you still think Nintendo have any degree of negotiating leverage.

 

[Kurotri]

The fuck do you mean 600% profit explosion? My god, this is insane.

 

[LordOfChaos]

And yet the 5k cards will be overpriced

How do you think Jen-Hsun pays for his carved Italian marble stove backers that he replaces whenever they get a splatter?

 

[Pop]

Still we have overpriced gpus

 

[iHaunter]

Just for AI? It barely does anything...

 

[Unknown Soldier]

And some of you still think Nintendo have any degree of negotiating leverage.

Everything we know about Nvidia and Nintendo suggests they have a harmonious relationship, Nintendo needs old chips to put in a hybrid console and sell 140 million units and Nvidia is happy to sell old chips whose sunk costs were written off years ago. It's free money for both companies!

 

[StreetsofBeige]

I'm in. Making a bit of money off Nvda already. Shares up 5% (+$50) after hours.

 

[LordOfChaos]

Everything we know about Nvidia and Nintendo suggests they have a harmonious relationship, Nintendo needs old chips to put in a hybrid console and sell 140 million units and Nvidia is happy to sell old chips whose sunk costs were written off years ago. It's free money for both companies!

There's not really a situation like the old Tegra X1 that I know of though. In that case Nvidia couldn't sell enough of them as they were dropped out of phones and Shield is a niche and the wafer silicon agreement was costing them. There's nothing like that now, and the likely chip for Switch 2 seems like it's made mostly for it.

 

[Unknown Soldier]

I'm in. Making a bit of money off Nvda already. Shares up 5% (+$50) after hours.

You're incredibly late but

 

[StreetsofBeige]

You're incredibly late but

Way too late. But I finally got on a few months ago.

Hindsight 20/20, but I should had bought in MU too way back. I was eyeballing it at $60-70 for a while. I might jump on that too soon.

 

[ChorizoPicozo]

yisus fucking christ.

 

[Unknown Soldier]

There's not really a situation like the old Tegra X1 that I know of though. In that case Nvidia couldn't sell enough of them as they were dropped out of phones and Shield is a niche and the wafer silicon agreement was costing them. There's nothing like that now, and the likely chip for Switch 2 seems like it's made mostly for it.

The Switch 2 chip was leaked years ago as a modified Tegra T234 which is like a 5 years old chip now. Nvidia did do some customizations for sure but it's doubtful that they invested a lot of money into it. Nintendo uses "withered technology" and everyone knows it, and Nvidia has never turned down free money.

 

[LordOfChaos]

The Switch 2 chip was leaked years ago as a modified Tegra T234 which is like a 5 years old chip now. Nvidia did do some customizations for sure but it's doubtful that they invested a lot of money into it. Nintendo uses "withered technology" and everyone knows it, and Nvidia has never turned down free money.

I know, they'll definitely use an older chip and this is it, but there's not the same situation where Nvidia had a wafer agreement for way more TX1's than they could sell that Nintendo swooped in on to cheap out on lol

Plus Nvidia can sell every wafer they can buy from foundries right now, the Switch 2 cost on the SoC will probably be significantly higher than the Switch 1

 

[feynoob]

And some of you still think Nintendo have any degree of negotiating leverage.

They kinda do. They are Mafia by blood.

 

[cinnamonandgravy]

 

[Unknown Soldier]

I know, they'll definitely use an older chip and this is it, but there's not the same situation where Nvidia had a wafer agreement for way more TX1's than they could sell that Nintendo swooped in on to cheap out on lol

Plus Nvidia can sell every wafer they can buy from foundries right now, the Switch 2 cost on the SoC will probably be significantly higher than the Switch 1

Rumors are saying Switch 2 SoC will be made on Samsung 8N which is the same process used for the now ancient Ampere (RTX 3000) architecture, while I do agree that Switch 2 SoC will cost more than Switch 1 SoC it certainly won't be some astronomical value when they are going to use which is now like a 4 generations old node

 

[LordOfChaos]

RIP bro

 

[Buggy Loop]

Not buying Nvidia stock years ago was my biggest mistake in life

 

[Grildon Tundy]

Insane. I bought NVIDIA and AMD when they were at $220 and $78 per share, respectively, because I saw how much gamers were willing to pay for graphics cards and thought they were undervalued. Turns out my reasoning for their upturn was way off, but I'll take it!

 

[Magic Carpet]

I wish I bought some, I tried but was 'advised' to just spread it around. My 2020 investments are barely keeping up with inflation.

 

[Hot5pur]

Almost no one beats the market and it's pure guesswork.
Index funds and bonds are your friends. Boggleheads and forget about it without the FOMO

 

[Unknown Soldier]

RIP bro

It was Wendy's or Valhalla for this fella, and it looks like he chose Wendy's

 

[MikeM]

Man I was debating on buying some stock today. Ffffuuuu…

 

[StereoVsn]

That’s a lot of leather jackets…

 

[Buggy Loop]

RIP bro

Famous Wallstreetbets GUH moment

 

[Chiggs]

But I thought GAF said that their decision to become an AI company was the wrong move.

And we all know GAF is 100% right 100% of the time.

 

[Kerotan]

And some of you still think Nintendo have any degree of negotiating leverage.

Is that why Nintendo didn't cut the price?

 

[LordOfChaos]

It was Wendy's or Valhalla for this fella, and it looks like he chose Wendy's

Bruh won't be able to afford Wendy's

 

[LordOfChaos]

Who gets in the way of Jen-Hsun Hung anyways?

 

[Woopah]

Is that why Nintendo didn't cut the price?

They didn't cut the price because they didn't need to. They are highly likely to cut it this year though.

 

[Kerotan]

They didn't cut the price because they didn't need to. They are highly likely to cut it this year though.

We don't fully know that. I'd tend to agree but if Nvidia had them by the balls they would have no choice.

 

[Unknown Soldier]

Who gets in the way of Jen-Hsun Hung anyways?

People who have a death wish

Works the same was as suicide by cop

 

[Mister Wolf]

I'm glad I bought some shares. Up 2 Gs on my investment.

 

[James Sawyer Ford]

There's not really a situation like the old Tegra X1 that I know of though. In that case Nvidia couldn't sell enough of them as they were dropped out of phones and Shield is a niche and the wafer silicon agreement was costing them. There's nothing like that now, and the likely chip for Switch 2 seems like it's made mostly for it.

There are still older foundries not being run at full capacity that NVIDIA would gladly fab their chips on for a lower cost. It's not competing with their AI business.

 

[DeaconOfTheDank]

Whew.

Feeling diamond hands right now... Want to realize gains and use the proceeds to diversify a bit, but hate to think of the taxes.

 

[lh032]

incoming next gen GPU prices.

 

[Fabieter]

Whew.

Feeling diamond hands right now... Want to realize gains and use the proceeds to diversify a bit, but hate to think of the taxes.

There are no gains if you aint selling at one point. There is a possibility of a bigger recession coming in the next few years which would hit the whole stock market, so be ready to sell at one point.

 

[Fess]

Not buying Nvidia stock years ago was my biggest mistake in life

It’s not too late. I buy when it goes down and sell when it goes up. Been doing this for years. I don’t have enough money invested to get rich but it pays for my hobbies at least.

Staying on the report this time was a gamble, I thought it would go down.

 

[Hudo]

Best part of the thread so far.

 

[Thick Thighs Save Lives]

RIP bro

 

[efyu_lemonardo]

Should've listened to Zoltar

 

[S0ULZB0URNE]

And some of you still think Nintendo have any degree of negotiating leverage.

Nintendo helped them make that money.

 

[SmokSmog]

 

[CuteFaceJay]

Just for AI? It barely does anything...

Didn't you see the video of the guy who lost his job to AI recently? It's getting there.

 

[BattleScar]

And some of you still think Nintendo have any degree of negotiating leverage.

Yes. Nintendo aren't married to or dependent on Nvidia. They don't give a shit about performance, only price. If Nvidia is too expensive, they'll take their money elsewhere, and Nvidia loses out on console market share.