Analysis of Nvdia's latest financial report
Nvidia's Q1 FY2025 Earnings Analysis
After the US stock market, Nvidia released its results report for the first fiscal quarter of fiscal year 2025 up to the end of April this year, showing strong growth momentum.
Key financial data
• Total revenue: Nvidia's total revenue for the first fiscal quarter reached a record high of US$26 billion, up 18% month-on-month and 262% year-on-year.
• Adjusted Earnings Per Share: Adjusted earnings per share were $6.12, up 19% month over month and 461% year over year.
• Net profit: Net profit increased by more than 620% to reach US$14.88 billion.
Business performance
• Data center revenue: Data center revenue reached a record high of US$22.6 billion in the first fiscal quarter, up 23% month-on-month and 427% year-on-year. Data center computing revenue was $19.4 billion, up 29% month-on-month and 478% year-over-year.
• Network Revenue: Network revenue grew 242% year over year to $3.2 billion due to strong growth in InfiniBand's end-to-end solutions.
• Gaming business: Quarterly revenue of US$2.6 billion, in line with market expectations, down 8% month-on-month and up 18% year-on-year.
• Automotive business: Quarterly revenue of US$329 million, up 17% month-on-month and 11% year-on-year, higher than market expectations of US$290 million.
Market reaction
Nvidia's stock price rose more than 7% in after-market trading. If the rise continues until tomorrow's opening, the stock price will break the $1,000 mark for the first time, driving the stock prices of other AI concept stocks (such as Arm Holdings, AMD, TSMC, MU, and SMCI) to rise.
Stock market performance and stock split plans
• Market capitalization: Nvidia's market capitalization jumped to $2.3 trillion, ranking third in the US stock market after Microsoft and Apple.
• Stock Split Plan: Nvidia will complete the 10-1 split on June 10 and increase the dividend by 150% to $0.01 per share after the split.
Prospects and expectations
• Second quarter forecast: Nvidia expects second-quarter revenue of $28 billion (up and down 2%), better than market expectations of $26.8 billion.
• Full-year forecast: The gross margin for the whole year is expected to narrow to about 70%, and operating expenses are expected to grow between 40% and 45%.
Analyst Ratings
• Analyst Ratings: 40 analysts suggested “buy,” 2 suggested “hold,” and none suggested “sell.” The average target price was $1057.76.
Business outlook
• Product and technology: Nvidia is developing the next generation of Blackwell superpower chips and is expected to see significant revenue this year. The company plans to launch new products every year.
• Market demand: Data center revenue is driven by enterprise and consumer internet companies, particularly large-scale deployments and upgrades from large cloud providers.
summed
Nvidia performed well in the first quarter of fiscal year 2025, reaching record highs in both revenue and profit, exceeding market expectations. The company's strong performance in the data center and AI fields, combined with the launch of new products and market expansion, shows the potential for continued growth in the future. $NVIDIA (NVDA.US)$
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
Read more
Comment
Sign in to post a comment
生财有道致力于全方位成长投资。邱天雄老师曾是上市公司主要媒体的CEO领导，拥有超过20年的投资经验。主要投资美国，中国和大马。
2507Followers
0Following
4085Visitors
Follow