NVIDIA Corporation (NASDAQ: NVDA) is poised to release its quarterly earnings on May 22, 2024. The anticipation among investors is high, driven by the company’s impressive rise in stock price and market valuation over recent years. NVIDIA has established itself as a leader in the artificial intelligence (AI) and data center markets, sectors that are experiencing rapid growth and transformation.
Recent Performance and Growth Highlights
NVIDIA’s financial achievements in recent quarters have been exceptional. In the third quarter of fiscal 2024, the company reported a record revenue of $18.12 billion, which was a 206% increase year-over-year and a 34% rise from the previous quarter. This growth was largely driven by its data center segment, which itself grew by 279% year-over-year to $14.51 billion. NVIDIA’s GAAP earnings per diluted share were $3.71, reflecting an increase of more than twelve-fold from the previous year, while non-GAAP earnings per diluted share were $4.02, nearly six times higher than the year before.
For the fourth quarter of fiscal 2024, NVIDIA continued this trend by posting a revenue of $22.1 billion, up 22% from the previous quarter and a staggering 265% from the year prior. The GAAP earnings per diluted share for this period were $4.93, up 33% from the previous quarter and up 765% year-over-year, with non-GAAP earnings per diluted share at $5.16.
Upcoming Earnings Expectations
As NVIDIA prepares to announce its earnings for the first quarter of fiscal 2025, analysts expect significant profit and revenue gains. The consensus estimate for revenue is $24.22 billion, representing a 237% increase from the same period a year ago. Analysts also forecast earnings per share (EPS) to be around $5.50, a 405% increase from the previous year. These expectations are underpinned by the continued strong demand for NVIDIA’s AI and data center products, as well as the company’s track record of consistently exceeding market expectations.
Conclusion: A Balanced View Ahead of Earnings
NVIDIA remains a formidable player in the tech industry, particularly in its core areas of AI and data centers. As the company gears up for its upcoming earnings release, investors and analysts will be watching closely to see if it can maintain its impressive growth trajectory and meet the high expectations set by its past performance. While NVIDIA’s rapid growth rate and high valuation may not appeal to all investors, its strong performance metrics make it a notable candidate for those focused on growth and technological leadership in the evolving tech landscape.