Nvidia Climbs on Earnings Beat, Strong Revenue Outlook

Nvidia topped analysts earnings and revenue expectations for its fiscal fourth quarter.
Author:
Publish date:

Shares of chipmaker Nvidia  (NVDA) - Get Report rose after-hours Wednesday after the company reported fiscal fourth quarter results that topped analyst estimates for both earnings and revenues for the period. 

TheStreet is live-blogging Nvidia's fourth-quarter earnings report. Please join us!

The Santa Clara, Calif. company reported fourth quarter adjusted earnings of $3.10 per share on record quarterly revenue of $5 billion, up 61% from a year earlier.

Analysts were expecting the company to report earnings of $2.81 per share on revenue of $4.82 billion. 

"Q4 was another record quarter, capping a breakout year for NVIDIA’s computing platforms,” said Jensen Huang, founder and CEO of NVIDIA. “Our pioneering work in accelerated computing has led to gaming becoming the world’s most popular entertainment."

Nvidia shares were up 2.9% to $596.50 after hours after closing the session up 2.5%.

For the current fiscal first quarter, Nvidia expects revenue to be about $5.3 billion compared to analyst expectations of $4.49 billion. 

Earlier this month, federal regulators reportedly opened an investigation into the semiconductor company's $40-billion acquisition of Arm Ltd. after several tech giants voiced their opposition to the deal.

The news followed the filing of a complaint by several big tech companies, including Alphabet  (GOOGL) - Get Report, Microsoft  (MSFT) - Get Report, and Qualcomm  (QCOM) - Get Report, asking antitrust officials to intervene in the acquisition.

Nvidia said in its fourth-quarter report that it was making "good progress" toward acquiring Arm, which Nvidia says "will create enormous new opportunities for the entire ecosystem."

Nvidia will pay a quarterly dividend of 16 cents per share on March 31 to shareholders of record on March 10. 

Nvidia, Alphabet and Microsoft are holdings in Jim Cramer's Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells these stocks? Learn more now.