- Nvidia’s (NVDA) stock dipped 0.85% to $130.17 after hours despite Q4 earnings of $0.89 per share beating the $0.85 consensus and revenues soaring nearly 78% to $39.33 billion against $38.1 billion expected, with Data Center revenue up 93% year-over-year, driven by $11.0 billion in Blackwell sales.
- The company guided Q1 revenue to $43.0 billion ($42.14 – $43.86 billion range), topping the $42.07 billion consensus, with 70.6% GAAP and 71.0% non-GAAP margins, though gaming revenue fell 11% year-over-year, offset by Automotive’s 103% surge and Visualization’s 10% gain.
- Nvidia’s $3.1 trillion valuation reflects robust AI demand, with 50% of Data Center revenue from cloud providers and a record Blackwell ramp, yet the $1.12 drop from the $131.28 close suggests investor caution amid supply constraints and high expectations.
Nvidia’s (NVDA) stock edged down $1.12, or 0.85%, to $130.17 in after-hours trading Wednesday, a muted response despite the $3.1 trillion tech titan delivering Q4 earnings of $0.89 per share – beating the $0.85 consensus by $0.04 – and revenues soaring 77.9% year-over-year to $39.3 billion, topping the $38.1 billion forecast, buoyed by a record Data Center haul up 93% from last year. The company’s Q1 revenue guidance of $43.0 billion, plus or minus 2%, with a range of $42.14 – $43.86 billion against a $42.07 billion consensus, signals robust momentum, driven by $11.0 billion in Blackwell architecture sales – its fastest product ramp ever – where cloud providers accounted for roughly 50% of Data Center revenue, though gaming revenue slipped 11% year-over-year amid supply constraints for Blackwell and Ada GPUs. Nvidia’s gross margins, projected at 70.6% GAAP and 71.0% non-GAAP for Q1, reflect its pricing power in an AI frenzy, yet the after-hours dip suggests profit-taking or tempered enthusiasm after a stellar quarter.
The Data Center surge – up 16% sequentially – stems from insatiable demand for Nvidia’s accelerated computing platform, powering large language models, recommendation engines, and generative AI, with Blackwell’s $11.0 billion debut quarter underscoring its dominance as agentic and physical AI loom as industry game-changers, per the company’s outlook. Professional Visualization revenue rose 10% year-over-year and 5% sequentially, fueled by Ada RTX GPU workstations for AI-driven design and engineering, while Automotive revenue rocketed 103% from last year and 27% sequentially, propelled by self-driving platform sales—bright spots offsetting gaming’s 22% sequential drop tied to limited GPU supply. Nvidia’s CEO claim of “amazing” Blackwell demand and billions in sales highlights a production scale-up that’s hit stride, positioning it at the forefront of AI’s next wave, from smarter models to long-thinking compute.
Despite the 77.9% revenue leap to $39.33 billion and a $0.89 EPS beat, the $130.17 after-hours price – down from the $131.28 close – hints at a market digesting a blockbuster Q4 against sky-high expectations, with $43.0 billion Q1 guidance reinforcing Nvidia’s lead in a $3.1 trillion valuation rooted in AI’s relentless climb. The 93% Data Center growth and $11.0 billion Blackwell windfall showcase a tech titan flexing its muscle, though gaming’s 11% year-over-year decline flags supply bottlenecks that contrast with Automotive’s 103% surge and Visualization’s 10% uptick. Nvidia’s 71.0% non-GAAP margin forecast for Q1 and its AI scaling narrative – tying compute power to smarter outcomes – cement its grip on a transformative market, even as Wednesday’s 0.85% slip suggests investors are pausing to weigh the next leg of its dizzying ascent.
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