NVDA: Nvidia Stock Dips Despite Revenue Soaring 94%. Some Investors Wanted More.

Shares slipped more than 2% in after-hours as the AI chip king didn’t meet the most-high expectations on revenue guidance.

• Nvidia stock NVDA flopped in after-hours trading Wednesday and is set to kick off Thursday deals lower by about 2%. All because some investors weren’t particularly happy with the chip giant’s stellar earnings report. For the third quarter, Nvidia delivered whopping growth, beating expectations for sales and earnings and also projected better-than-expected guidance for the current quarter. The AI train keeps riding full-throttle, it seems.
• Earnings per share arrived at 81 cents, eclipsing the 75 cents expected. Revenue hit $35.08 billion, comfortably topping the $33 billion eyeballed by analysts. Revenue for the current quarter, the company said, was estimated to land at $37.5 billion. The deal with that is it beat the average Wall Street estimates of $37.08 billion but failed to go beyond the loftiest consensus calls for $41 billion. Some investors obviously wanted too much.
• The fourth-quarter guidance from Nvidia suggests growth of about 70% — a marked slowdown from the breakneck increase of 265% annual growth in the same quarter last year. Shares of the chip making juggernaut have advanced 200% this year, positioning the company as the world’s largest with a market cap of $3.6 trillion. Apple AAPL follows right after with a valuation of $3.45 trillion.