NEW YORK (TheStreet) -- Shares of Nvidia Corp. (NVDA) are surging, up 7.65% to $18.80 on very heavy trading volume, after the creator of graphic chips reported second quarter revenue of $1.10 billion, up 13% from $977 million a year earlier, and in line with the previous quarter.
Revenue for the first half was up 14% to a record $2.21 billion from $1.93 billion a year earlier.
GAAP earnings per diluted share for the quarter were 22 cents, up 38% from 16 cents a year earlier, and down 8% from the previous quarter.
Must Read: Warren Buffett's 25 Favorite Stocks
Non-GAAP earnings per diluted share were 30 cents, up 30% from 23 cents a year earlier, and up 3% from the previous quarter. The second quarter consensus estimate was for 20 cents.
Nvidia also issued guidance for the third quarter based on improving business in gaming, data center and cloud, and mobile segments.
The company expects third quarter revenue to be $1.2 billion, plus or minus 2%, higher than analysts' expectation of $1.16 billion.
TheStreet Ratings team rates NVIDIA CORP as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate NVIDIA CORP (NVDA) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, reasonable valuation levels, increase in net income and growth in earnings per share. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity."