Nvidia revenue forecasts for first quarter exceed estimates

Nvidia forecast first-quarter revenue above market estimates on Wednesday, expecting robust demand for its leading AI chips to persist as businesses spend heavily to expand generative artificial intelligence infrastructure.

Its shares rose about 1% in choppy extended trading, after closing up 3.7% in regular trading. Nvidia is the biggest beneficiary of a rally in AI-linked stocks, with its shares up more than 400% over the last two years.

The company expects revenue of $43 billion, plus or minus 2% for the first quarter, compared with analysts’ average estimate of $41.78 billion according to data compiled by LSEG.

Demand has grown unabated for Nvidia’s advanced chips that can speedily process the large amounts of data used by generative AI applications, as companies race each other to emerge as leaders of the new technology. Generative AI is a type of artificial intelligence that can learn from data and improve over time.

Nvidia’s optimistic forecast also helps allay doubts around a slowdown in spending on its hardware that emerged last month, following Chinese AI startup DeepSeek’s claims that it had developed AI models rivaling Western counterparts at a fraction of their cost.

This could add fuel to the sputtering AI rally after the Magnificent Seven stocks’ tumultuous retreat from their late-2024 peaks as Wall Street’s optimism waned under the shadow of DeepSeek’s innovations.

Nvidia’s revenue for the fourth quarter grew 78% to $39.3 billion, beating estimates of $38.04 billion.

—Arsheeya Bajwa, Reuters


https://www.fastcompany.com/91286240/nvidia-earnings-report-first-quarter-revenue-exceeds-estimates?partner=rss&utm_source=rss&utm_medium=feed&utm_campaign=rss+fastcompany&utm_content=rss

Created 1mo | Feb 26, 2025, 11:20:02 PM


Login to add comment

Other posts in this group

Andrew Tate is back—and he’s getting a hero’s welcome from right-wing podcasters

You can’t talk about the manosphere without mentioning Andrew Tate. The British-American influencer and former professional kickboxer built his platform by promoting misogynistic ideas—claiming wo

Apr 2, 2025, 10:50:04 PM | Fast company - tech
Meta and UFC team up to bring AI and VR to fans

UFC is joining up with Facebook’s parent company

Apr 2, 2025, 10:50:02 PM | Fast company - tech
An AI watchdog accused OpenAI of using copyrighted books without permission

An artificial intelligence watchdog is accusing OpenAI of training its default ChatGPT model on copyrighted book content without permission.

In a new paper

Apr 2, 2025, 8:30:07 PM | Fast company - tech
Trump signals TikTok sale will done by April 5 deadline. Who will buy it?

As the deadline to strike a deal over TikTok approaches this week, President Donald Trump has signaled that he is confident his administrat

Apr 2, 2025, 6:20:04 PM | Fast company - tech
CERN scientists release blueprint for the Future Circular Collider

Top minds at the world’s largest atom smasher have released a blueprint for 

Apr 2, 2025, 6:20:03 PM | Fast company - tech
‘Titanic 2’? YouTube is cracking down on AI-assisted fake movie trailers that fetch millions of views

A trailer for Avatar: Fire and Ash, the third film in James Cameron’s galactically successful series, starts by delivering on the title’s promise. Rivers of lava cascade through the fores

Apr 2, 2025, 3:50:06 PM | Fast company - tech