Cypher
Cryptocurrency RegulationNewsOpenAI / ChatGPT / Artificial Intelligence

NVIDIA Q4 Earnings Shatter Records as Revenue Jumps 265% 

Nvidia stock (NVDA) price rallied 8% to test $738.35 as the Nasdaq-listed firm reported better-than-anticipated earnings for its fourth quarter (Q4) revenue. The most valuable global chip maker reported that its Q4 earnings soared 265%, fueled by the spending frenzy on artificial intelligence (AI). 

The chip maker’s good news saw other AI-related stocks realize significant price jumps following the late Wednesday news. The shares of the Santa Clara-headquartered chip maker rose in the off-hours trading following news that the Q4 earnings results surpassed the Wall Street forecasts. 

Nvidia Reports 265% Quarter 4 Earnings Growth

The California-based hardware developer realized $22.1 billion in earnings in Q4, which ended on January 28, 2024. The chipmaker’s Q4 earnings grew 22% from the third quarter (Q3) and 265% more than the previous year.   

Nvidia chief executive Jensen Huang attributed the record-shattering Q4 earnings to the accelerated computing and uptake of generative AI, which marked the tipping point. 

Cypher

A glance at a Reuters publication revealed that market watchers anticipated 208% growth before the earnings report. Huang attributed the increase in earnings to surging demand for companies, nations, and industries worldwide. 

The Thursday, February 22 publication by Reuters reported that Nvidia’s earnings news fuelled a notable surge in the AI-associated stock prices. Super Micro Computer stock rose by 6%, Advanced Micro Devices by 3%, and chip maker Broadcom by 2%.

The Reuters publication reported that Google’s parent firm, Alphabet’s stock rose by 0.98% to test $143.95. Microsoft, too, saw its stock realize a modest 0.65% rise to exchange hands after-hours at $404.90.

📰 Also read:  Parallel Studio Nets $35M in Funding Round Led by VanECK

The Reuters publication indicated that AI-linked tokens and meme coins rode on the corporate solid report from Nvidia. 

A review of the AI-related tokens led by Fetch.AI (FET) rallied 3.49% to exchange hands at $1.13, though dwarfed by the SingularityNET AGIX token that rallied 13.30% to $0.66. The Optimum AI (OPTI) increased by 0.70% to trade at $0.32, as per CoinMarketCap data. 

The Sora token inspired by ChatGPT creator OpenAI’s buzzy revelation of a powerful AI video generator surged 9.22% to $0.000000368.

In the previous year, Nvidia had realized $13.5 billion in the fiscal second quarter (Q2). The earnings illustrated a 101% increment from the same quarter in 2022. 

Nvidia Leveraging Accelerated Computing Era to Grow Earnings

Nvidia founder Jensen Huang indicated that the company was leveraging the computing era that was beginning. He noted that companies globally embraced the transition towards accelerated computing and generative AI from general-purpose technology. 

Nvidia attributes the record Q4 earnings to the generative AI demand as companies seek faster data processing among internet computers, enterprise software firms, and cloud services. 

Huang illustrated that the hardware section received a huge boost from the AI. Developers choose Nvidia’s GPUs to power their AI projects. 

Huang indicated that NVIDIA RTX is presently a leading PC platform preferred by generative AI six years after its unveiling. The platform accommodates 100 million gamers and creators that will grow in the upcoming period. 

The Nvidia chief hinted at NVIDIA RTX’s critical role in unveiling new product cycles integrating exceptional innovations to propel the industry. 

📰 Also read:  South Korean Won Tops US Dollar in Crypto Trading Volume for Q1 2024

Huang acknowledged that the demand suffered from the US-China geopolitical tensions. It prompted Nvidia to introduce the pared-down RTX 4090D, targeting Chinese markets with lower capability than the RTX 4090 GPU.

Nvidia Data Center Realized 409% Earnings Growth

The data center earnings grew 409% compared to the past year to $18.4 billion in quarter four. 

Nvidia’s gaming sector rallied by 15% to earn 10.4 billion in annual earnings. GeForce RTX 40 GPUs drive the growth. Also, Nvidia introduced microservices targeting Avatar Cloud Engine and customizable chatbots.

In May last year, Nvidia confirmed the introduction of the Avatar Cloud Engine (ACE) to power subsequent generations. The demo featured a detailed cyberpunk-style restaurant with NPC at the back to bolster understanding and reasonable interaction with gamers. 

Huang indicated that the future is untapped for video games. He projects that AI will render and synthesize the environment while animating characters.  

Editorial credit: FP Creative Stock / Shutterstock.com


Tokenhell produces content exposure for over 5,000 crypto companies and you can be one of them too! Contact at info@tokenhell.com if you have any questions. Cryptocurrencies are highly volatile, conduct your own research before making any investment decisions. Some of the posts on this website are guest posts or paid posts that are not written by Tokenhell authors (namely Crypto Cable , Sponsored Articles and Press Release content) and the views expressed in these types of posts do not reflect the views of this website. Tokenhell is not responsible for the content, accuracy, quality, advertising, products or any other content or banners (ad space) posted on the site. Read full terms and conditions / disclaimer.

📰 Also read:  Parallel Studio Nets $35M in Funding Round Led by VanECK

Cypher

Stephen Causby

Stephen Causby is an experienced crypto journalist who writes for Tokenhell. He is passionate for coverage in crypto news, blockchain, DeFi, and NFT.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close
Skip to content