NVDA: Nvidia Does It Again—Bumper Quarter and Bold Guidance Show Demand Isn’t Going Anywhere

Nvidia is still king—that’s what became clear when the chipmaker posted record, above-expectations sales at $39.3 billion.

🤨 Stock Flat After Record Revenue

• Nvidia stock NVDA showed virtually no reaction to another stellar quarter as apparently record sales and an earnings beat weren’t good enough for investors. Shares of the chipmaker were flat in extended trading Wednesday and early Thursday, following the company’s fourth-quarter earnings report.
• Nvidia pulled in record revenue of $39.3 billion, up 80% from a year ago and topped analyst estimates for $38 billion. Earnings per share reached $0.89 against Wall Street guidance for $0.84 a pop.

🤖 Upbeat Guidance for Q1

• By the company’s performance numbers and, what’s more, forward-looking guidance, demand for AI chips isn’t going anywhere. Big tech is likely to continue shopping for data center equipment from Nvidia as the company said it expected about $43 billion in first-quarter revenue.
• The figure was above Wall Street’s consensus views of $42 billion and signalled that Nvidia isn’t too afraid of China’s DeepSeek, which recently shook the AI space with an AI bot that’s immensely cheaper than OpenAI’s ChatGPT.

👨🏻‍💻 Data Center Revenue Up 93%

• Revenue from data centers was up 93% year over year to $35.6 billion. Nvidia said that the big cloud computing firms accounted for roughly 50% of its data center revenue.
• The company’s flagship AI chip, Blackwell, appears to be doing fine, too. Jensen Huang said that he’s “more enthusiastic today” about Blackwell than he was before. “Nothing is easy about what we’re doing, but we’re doing great,” the chief executive said on the earnings conference call.