NVIDIA Earnings: Here’s Why Investors are Buying Shares Now

NVIDIA Corporation (NASDAQ:NVDA) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 1.65%.

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NVIDIA Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 30% to $0.13 in the quarter versus EPS of $0.10 in the year-earlier quarter.

Revenue: Rose 3.22% to $954.7 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: NVIDIA Corporation reported adjusted EPS income of $0.13 per share. By that measure, the company beat the mean analyst estimate of $0.10. It beat the average revenue estimate of $940.54 million.

Quoting Management: “The success of Kepler-based GPUs within and beyond the PC helped drive another quarter of record margins,” said Jen-Hsun Huang, president and chief executive officer of NVIDIA. “Kepler is capturing share among gamers, strengthening our workstation and supercomputing segments, and will fuel new growth opportunities for our GRID server graphics solutions. With Tegra 4 devices and Tegra 4i certification on the way, we’re gearing up to return to growth in the second half.”

Key Stats (on next page)…

Revenue decreased 13.75% from $1.11 billion in the previous quarter. EPS decreased 53.57% from $0.28 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.22 to a profit $0.14. For the current year, the average estimate has moved down from a profit of $0.96 to a profit of $0.70 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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