• Investing
  • Stock
  • Editor’s Pick
  • Economy
The Significant Deals
Stock

Nvidia sees past triple-digit growth

by November 21, 2024
written by November 21, 2024

(Fixes share RIC in first paragraph)

A look at the day ahead in U.S. and global markets from Mike Dolan

There’s not too much to worry about at the world’s most valuable company – or the artificial intelligence theme – but just conceding that triple-digit growth can’t last forever has been enough to stall Nvidia (NASDAQ:NVDA)’s share price and dampen global tech stocks.

The $3.6 trillion chip giant’s revenue forecast on Wednesday disappointed Wall Street, with its stock down more than 3% premarket – with peers Advanced Micro Devices (NASDAQ:AMD), Intel (NASDAQ:INTC) and Qualcomm (NASDAQ:QCOM) off about 1% in sympathy and European chipmakers down as well.

Although it beat most metrics and consensus estimates yet again, Nvidia forecast its slowest revenue growth in seven quarters and flagged supply chain constraints through next year. Its executives warned investors the company’s margins would sink several percentage points to the low-70% range until production kinks are ironed out.

But don’t shed too many tears. The AI bellwether’s latest earnings report was by most standards still extraordinary – sales in its main data center segment more than doubled and the company’s forecast revenue of $37.5 billion for fourth quarter was above average estimates of $37.09 billion.

And in many respects, the price reaction is modest. After another 20% share surge over the past two months, markets feel most of the ongoing boom is already in the price for now.

More worrying on Wednesday was U.S. retailer Target (NYSE:TGT)’s big miss on its profit and holiday-quarter sales forecast – which sent its stock plummeting more than 20% and stood in contrast to the previous day’s beat from the world’s no. 1 retailer Walmart (NYSE:WMT).

The politics of President-elect Donald Trump’s incoming administration still dominated thinking in the background – with no sign yet of his pick for Treasury Secretary – and geopolitical worries rumbled abroad.

One of the few post-election trades to keep on moving was Bitcoin – and the dominant crypto asset zoomed close to a record $98,000 overnight, up more than 40% over the past month.

Overall, the broader market was more subdued, with stock futures marginally in the red on Thursday and most European and Asian indexes lower too.

U.S. Treasury yields slipped back despite a poorly received 20-year bond auction on Wednesday – but the dollar remained firm.

Bank of Japan Governor Kazuo Ueda said on Thursday the central bank would “seriously” take into account foreign exchange rate moves in compiling its economic and price forecasts and noted there would be more information to digest before next month’s policy meeting.

Another dominant market story overseas was in India as firms of the Adani Group conglomerate lost as much as $34 billion in market value after U.S. prosecutors charged its billionaire chairman in an alleged bribery and fraud scheme.

Gautam Adani’s flagship Adani Enterprises (NS:ADEL) tumbled as much as 23% to its lowest since November 2023 for its worst one-day drop since February last year.

Key developments that should provide more direction to U.S. markets later on Thursday:

* Philadelphia Federal Reserve’s November business survey, Kansas City Fed’s November business surveys; US weekly jobless claims, US October existing home sales; Euro zone November consumer confidence; Canada October producer prices

* US corporate earnings: Intuit (NASDAQ:INTU), NetApp (NASDAQ:NTAP), Deere (NYSE:DE), Ross Stores (NASDAQ:ROST), Copart (NASDAQ:CPRT), PDD

* Chicago Federal Reserve President Austan Goolsbee, Cleveland Fed President Beth Hammack and Fed Vice Chair for Supervision Michael Barr all speak. European Central Bank chief economist Philip Lane speaks, Bank of Spain governor Jose Luis Escriva and Bank of Cyprus governor Christodoulos Patsalides all speak; Bank of England policymaker Catherine Mann speaks

* US Treasury sells $17 billion of 10-year inflation-protected securities

(By Mike Dolan,mike.dolan@thomsonreuters.comEditing by Toby Chopra)

This post appeared first on investing.com
0 comment
0
FacebookTwitterPinterestEmail

previous post
VW union demands ‘big step’ from management as strikes loom
next post
Nvidia results reinforce positive outlook on TSMC, BofA says

You may also like

BASF results down on impairments, restructuring

January 27, 2025

European chipmakers slump as traders gauge DeepSeek AI...

January 27, 2025

Nasdaq futures tumble as China’s AI push rattles...

January 27, 2025

China Vanke’s CEO, chairman resign amid growing liquidity...

January 27, 2025

Fuji Media, rocked by sexual misconduct allegations, says...

January 27, 2025

Italy’s MPS shares fall ahead of Mediobanca board...

January 27, 2025

British Land stock drops following stake sale

January 27, 2025

UMG shares rally after new multi-year pact with...

January 27, 2025

BASF shares indicated 3% lower as impairments drag...

January 27, 2025

Ryanair cuts 2026 traffic forecast amid ongoing Boeing...

January 27, 2025
Fill Out & Get More Relevant News








    Stay ahead of the market and unlock exclusive trading insights & timely news. We value your privacy - your information is secure, and you can unsubscribe anytime. Gain an edge with hand-picked trading opportunities, stay informed with market-moving updates, and learn from expert tips & strategies.

    Recent Posts

    • Procter & Gamble to cut 7,000 jobs as part of broader restructuring

      June 6, 2025
    • Shein and Temu see U.S. demand plunge as loophole for cheap goods closes

      June 6, 2025
    • Shein and Temu see U.S. demand plunge as loophole for cheap goods closes

      June 5, 2025
    • This California startup is cleaning water and removing CO₂ from the atmosphere — all at a reduced cost

      June 5, 2025

    Categories

    • Economy (245)
    • Editor's Pick (3,646)
    • Investing (504)
    • Stock (6,426)

    Latest News

    • Procter & Gamble to cut 7,000 jobs as part of broader restructuring
    • Shein and Temu see U.S. demand plunge as loophole for cheap goods closes

    Popular News

    • Tesla to give permanent jobs to 500 temporary staff at German gigafactory
    • Thanksgiving travel period off to a record start

    About The Significant deals

    • Privacy Policy
    • Terms & Conditions

    Copyright © 2025 thesignificantdeals.com | All Rights Reserved

    The Significant Deals
    • Investing
    • Stock
    • Editor’s Pick
    • Economy