Nvidia Shares Drop 6% After Reporting Record Revenues. Can the Chip Giant Sustain Its Dominance?
Nvidia reported record revenues of $30 billion for its recent quarter, surpassing analysts' expectations and marking a 122% increase from the previous year. Despite this strong performance, Nvidia's shares fell by 6% in after-hours trading as investors expressed concerns about the slowing pace of growth. Analysts noted that while Nvidia has been a major beneficiary of the AI boom, expectations for its continued growth are challenging to sustain. The company's prominent role in AI and high expectations have made its quarterly results a major event on Wall Street. Still, there are concerns that rivals could eventually challenge its market dominance.
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00:00It's Benzinga and here's what's on the block.
00:03NVIDIA reported record revenues of $30 billion for its recent quarter, surpassing analysts'
00:07expectations and marking an 122% increase from the previous year.
00:11Despite this strong performance, NVIDIA's shares fell by 6% in after-hours trading as
00:15investors expressed concerns about the slowing pace of growth.
00:19Analysts noted that while NVIDIA has been a major beneficiary of the AI boom, expectations
00:23for its continued growth are challenging to sustain.
00:26The company's prominent role in AI and high expectations have made its quarterly results
00:30a major event on Wall Street, but there are concerns that rivals could eventually challenge
00:34its market dominance.
00:35For all things money, visit Benzinga.com.