NVDA soars over 6% in morning trading

Tiger Newspress2021-08-19

(Aug 19) Nvidia(NASDAQ:NVDA) shares rose over 6% Thursday to a record high following the chipmaker's second-quarter results that were highlighted by strength in the company's data center business.

Data center revenue rose 35% from a year ago, to $2.37 billion. Bank of America Securities analyst Vivek Arya said that with regards to its data center offerings, NVIDIA Corp (NVDA) showed growth in hyperscale, vertical markets and high-performance computing, which Arya said should help the company's data center business grow by at least 30% a year over the long-term. Arya has a buy rating and $260-a-share price target on Nvidia's (NVDA) stock.

But, it was the gaming that produced the largest share of the company's revenue in the most-recent quarter. Gaming totaled $3.06 billion, up 85% from a year ago, led by demand for GeForce graphics processors and system-on-a-chip offerings for game consoles.

Timothy Arcuri, of UBS, said Nvidia's (NVDA) gaming business is "trending more in-line" heading into what is typically a strong fall quarter for the company. Arcuri has a buy rating and $230-a-share price target on the chipmaker's stock.

For the quarter, Nvidia (NVDA) reported a profit of $1.04 a share, on total revenue of $6.51 billion. Wall Street analysts had forecast the chipmaker to earn $1.02 a share on $6.34 billion in sales.

    Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

    Comments

    Leave a comment