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Nvidia is preparing to reveal its financial results for the fourth quarter after the market closes on Wednesday, garnering significant interest from investors and analysts.
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The upcoming report is expected to shed light on the flourishing artificial intelligence sector in the technology industry, underscoring Nvidia’s pivotal role in this domain.
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Of particular focus will be Nvidia’s AI-powered H100 GPU chips, each valued at over $40,000, and the company’s strategic product roadmap for the upcoming year, key aspects closely monitored by Wall Street.
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Analysts are keenly interested in the projected quarterly metrics for Nvidia as follows, based on Bloomberg data:
- Revenue: $20.41 billion
- GAAP earnings per share: $4.23
- Adjusted earnings per share: $4.60
- Gross margin: 75.4%
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Despite strong chip demand from major cloud hyperscalers like Microsoft and Amazon, Nvidia has faced regulatory hurdles affecting chip sales to China, a market that significantly contributed to its revenue in the previous year.
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The company’s success in the data-center sector has been a primary growth driver, leading investors to examine the remaining potential in this market segment and assess Nvidia’s competitive stance against rivals such as AMD.
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Analyst outlooks on Nvidia’s upcoming earnings report are as follows:
1. Wedbush: Anticipating Excitement
Wedbush analyst Dan Ives highlighted the significance of enterprise spending in shaping Nvidia’s quarterly performance and future prospects. Ives expressed optimism about Nvidia’s leadership in AI advancements and the potential for further growth in this sector.
2. Bank of America: Expecting Moderate Outperformance
Bank of America predicts Nvidia to slightly exceed analyst expectations, projecting a more subdued beat compared to previous quarters. The bank foresees a focus on Nvidia’s post-earnings product roadmap, especially leading up to the GPU Tech Conference in March.
Bloomberg Intelligence: Upholding Dominance in Data Centers
Oscar Tejada from Bloomberg Intelligence emphasized Nvidia’s strong position in the data-center market, expecting the company to deliver impressive results. While a significant earnings beat is not anticipated, Nvidia’s strategic efforts to bolster supply chain resilience and venture into new projects are poised to sustain demand momentum through 2025.
