NVIDIA Corporation (Nasdaq: NVDA) once again etches its name in the annals of history with a groundbreaking quarterly report. Their latest earnings reveal a staggering $22.1 billion in revenue, marking a monumental 265% surge from the previous year. Notably, their data centre revenue soared to $18.4 billion, a remarkable 409% expansion over the same quarter last year. The full-year revenue of $60.9 billion showcases a remarkable 126% increase from the previous year, accompanied by a net income surge of 769% to $12.29 billion. These figures solidify NVIDIA’s standing as a prime beneficiary of the burgeoning interest in large AI models, all powered by their cutting-edge GPUs.
But the company’s triumph doesn’t end there. Following the earnings release, their share price surged by an impressive 16%, rocketing up by $110.66 and adding a staggering $277 billion to their market cap. This single-day gain in market cap stands as the largest ever recorded for a US company. With this surge, NVIDIA’s market cap has now soared to $1.933 trillion, eclipsing the size of the entire Canadian economy.
With such meteoric success in recent years and a consistent trend of breaking records in earnings reports, investors pondered whether NVIDIA could sustain such explosive growth throughout the year. CEO Jensen Huang swiftly addressed these concerns, affirming that the fundamental conditions remain exceptionally favourable for continued growth into 2025 and beyond. The insatiable demand for their GPUs, driven by generative AI applications and a widespread industry shift towards NVIDIA’s accelerators, suggesting a bright future ahead.
Sources: Koyfin, Tradingview, NVIDIA Corporation
Piece written by Tiaan van Aswegen, Trive Financial Market Analyst
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