Nvidia's (NASDAQ:NVDA) strong performance in the first quarter exceeded Wall Street expectations, largely due to high demand for AI-driven solutions in its data

Nvidia Stock Surges 7% Following Strong Q1 Beat


blog post cover photo

Image credit: FMP

Nvidia's (NASDAQ:NVDA) strong performance in the first quarter exceeded Wall Street expectations, largely due to high demand for AI-driven solutions in its data center segment. The company provided optimistic guidance for the current quarter and announced a ten-for-one stock split. Following the announcement, Nvidia's stock rose by over 7% in pre-market today.

The company's adjusted earnings were $6.12 per share on $26.04 billion in revenue, surpassing analysts' predictions of $5.58 per share on $24.53 billion in revenue.

The impressive results were driven by a 427% increase in data center revenue, reaching $22.56 billion, exceeding the expected $21.32 billion. This surge was attributed to strong demand for Nvidia's Hopper GPU computing platform, which supports large language models, recommendation engines, and generative AI applications.

For Q2, Nvidia projects revenue of $28 billion, plus or minus 2%, above the anticipated $26.54 billion. Additionally, Nvidia announced a ten-for-one stock split to be implemented on June 7, aimed at making its shares more accessible to employees and investors. The company also raised its quarterly cash dividend by 150% to $0.10 per share.

Other Blogs

Nov 25, 2023 6:39 AM - Parth Sanghvi

DCF Valuation vs. Comparable Companies Analysis: Choosing the Right Valuation Method

Choosing the Right Valuation Method: DCF vs. Comparable Companies Analysis Introduction: Valuation methods play a pivotal role in determining the fair value of a company, aiding investors in making informed investment decisions. Two commonly used methods, DCF Valuation and Comparable Companies A...

blog post title

Dec 23, 2023 2:19 AM - Parth Sanghvi

Understanding the Limitations of DCF Analysis: A Guide to Overcoming Challenges

Introduction: Discounted Cash Flow (DCF) analysis stands as a cornerstone in valuing investments, yet its efficacy is contingent upon various assumptions and methodologies. While a powerful tool, DCF analysis comes with inherent limitations and challenges that investors must acknowledge to make i...

blog post title

Dec 25, 2023 2:28 AM - Parth Sanghvi

Integrating Sustainability into Valuations: Navigating ESG Factors within the Discounted Cash Flow (DCF) Model

Introduction: The investment landscape is undergoing a profound shift with a heightened emphasis on sustainability and responsible investing. In this blog post, we explore the intersection of Environmental, Social, and Governance (ESG) considerations within the Discounted Cash Flow (DCF) model, h...

blog post title


Financial Modeling Prep API provides real time stock price, company financial statements, major index prices, stock historical data, forex real time rate and cryptocurrencies. Financial Modeling Prep stock price API is in real time, the company reports can be found in quarter or annual format, and goes back 30 years in history.
2017-2024 © Financial Modeling Prep