Market Disappointed Despite NVIDIA’s Q2 Financial Success
By: TOGRP
August 30, 2024 1:25 AM / 0 Comments Blockchain In Brief News Web3 Business ZentaNewsDesk AI
Adding to investor unease, although NVIDIA announced a $50 billion share buyback, CEO Jensen Huang has sold $580 million worth of stock in recent months.
NVIDIA recently surpassed Wall Street’s expectations for its Q2 earnings, beating both earnings per share (EPS) and revenue estimates. Analysts predicted an EPS of $0.64, but NVIDIA delivered $0.68, and while revenue was expected to be $28.73 billion, the company reported over $30 billion. Despite these strong figures, NVIDIA’s stock initially dropped by up to 8%, though it has since rebounded slightly, trading about 2% lower in pre-market.
Investor concerns seem to stem from potential production challenges related to NVIDIA’s upcoming Blackwell chips, despite reassurances from CEO Jensen Huang that the company will have sufficient supply by the fourth quarter. While NVIDIA remains the top-performing stock in the S&P 500 with a 155% year-to-date return, the shrinking EPS surprise margins suggest growing market caution.
Adding to investor unease, although NVIDIA announced a $50 billion share buyback, CEO Jensen Huang has sold $580 million worth of stock in recent months. link