Nvidia Shares Soar on Earnings Beat, Bullish Outlook
Nvidia said it expects sales in the second quarter to come in between $990 million and $1.05 billion, well ahead of the the $976 million analysts had forecast.
And the cheerful forecast came on top of earnings that also beat expectations. Sales in the first quarter fell to $925 million from $962 million a year earlier, which, despite the drop, was better than the $916 million consensus.
Nvidia’s profits were $60 million, or 10 cents on a per-share basis, which was also a drop from 22 cents in the year-ago period. A rather hefty fall at that, but it was in line with expectations.
It looks like Nvidia is scoring some important wins in the desktop space, now that Windows 8 — which supports variants of ARM-based chips and not just x86-type chips from Intel and Advanced Micro Devices — is coming. Also, notebook graphics chips are growing. Nvidia also landed a version of its Tegra chip inside a phone from HTC that launched with 22 carriers in Europe and Asia.