NVIDIA Corporation (NASDAQ: NVDA) Q1 FY25 Earnings Release : Market Insights, Analyst Forecasts, and Technical Analysis

NVIDIA Corporation (NASDAQ: NVDA) announced its Q1 FY25 financial results yesterday, May 22, 2024, at 2:00 PM PT. The call was webcasted and could be accessed at https://events.q4inc.com/attendee/107630624.

As of May 2024, NVIDIA has a market cap of $2.346 trillion, making it the third most valuable company in the world by market cap, according to data from companiesmarketcap.com.

Dividend Information

The dividend yield is 0.02%, with an annual dividend of $0.16. The ex-dividend date is May 29, 2024, and payouts are made quarterly. The payout ratio is 1.34%. There is no data on dividend growth. The buyback yield is 0.52%, resulting in a total shareholder yield of 0.54%.

Recent Development At NVIDIA

Here are some of the recent developments at NVIDIA:

– Expanded collaboration with Microsoft to streamline AI model deployment via Azure and Windows PCs.

– CEO Jensen Huang highlights generative AI at Dell Technologies World, announcing updates to the Dell AI Factory.

– Partnering with Teradyne and Siemens in Odense, Denmark, to discuss AI and robotics innovations.

– Collaboration with Google DeepMind on large language model advancements, supporting PaliGemma with NVIDIA NIM.

– Introduction of the NVIDIA Blackwell Platform for enhanced scientific computing, AI, quantum computing, and data analytics.

Recap of Q1 FY25 Earnings Release

– NVIDIA announced its Q1 FY25 financial results yesterday, reporting a record quarterly revenue of $26.0 billion, up 18% from Q4 and 262% year-over-year, along with record quarterly Data Center revenue of $22.6 billion, up 23% from Q4 and 427% year-over-year.

– They also declared a ten-for-one forward stock split effective June 7, 2024, and raised the quarterly cash dividend by 150% to $0.01 per share on a post-split basis.

– GAAP earnings per diluted share were $5.98, up 21% from Q4 and 629% year-over-year, while non-GAAP earnings per diluted share were $6.12, up 19% from Q4 and 461% year-over-year.

– NVIDIA’s CEO, Jensen Huang, emphasized the transformative impact of AI and the company’s position for future growth, citing strong demand for generative AI and new software offerings.

– The forward stock split will be executed through an amendment to NVIDIA’s Restated Certificate of Incorporation, with trading expected to commence on a split-adjusted basis on June 10, 2024.

Technical Analysis

Nvidia shares surged over 6% hours after the Q1 FY25 earnings release, trading above $1000 with a current pre-market price around $1009.61, making it a key stock to watch when US markets open today, volumes could be exceptional too following the strong pre-market activity.

From a technical analysis perspective, a 1HR ascending triangle chart pattern for NVDA is identified on Tradingview. An uptrend line from $813.26 saw price rejection at $933.46 after a price pullback from $957.80.

A drop below the $1000 price line could lead to a retest of the uptrend line, with potential for further decline if broken. Conversely, a bounce off the $1000 level may signal further upside momentum.

Conclusion

In conclusion, NVIDIA’s Q1 FY25 financial results exceeded expectations, with record-breaking quarterly revenue and substantial growth in Data Center revenue. The company also announced significant corporate actions, including a forward stock split and a substantial increase in the quarterly cash dividend. Analysts forecasted strong sales and earnings figures for the quarter, indicating robust growth compared to the previous year. Looking ahead, NVIDIA’s recent developments, strategic collaborations, and emphasis on AI innovation position the company for continued success and potential expansion into new markets. Technical analysis suggests potential upward movement if resistance levels are breached, highlighting positive sentiment surrounding NVIDIA’s future prospects in the market.

Sources:

https://nvidianews.nvidia.com/news/nvidia-announces-financial-results-for-first-quarter-fiscal-2025

https://companiesmarketcap.com/nvidia/marketcap/

https://stockanalysis.com/stocks/nvda/dividend/

https://blogs.nvidia.com/blog/microsoft-build-optimized-ai-developers/

https://blogs.nvidia.com/blog/dell-technologies-world-2024/

https://blogs.nvidia.com/blog/nvidia-teradyne-siemens-robotics-autonomous-machines-ai/

https://blogs.nvidia.com/blog/gemma-nim-google-deepmind/

https://blogs.nvidia.com/blog/blackwell-scientific-computing/

https://norvanreports.com/nvidia-unveils-new-chip-and-other-technology-stories-to-read/

https://nvidianews.nvidia.com/news/nvidia-announces-financial-results-for-first-quarter-fiscal-2025

https://www.zacks.com/stock/quote/NVDA/detailed-earning-estimates