Nvidia, the company with the world’s second-largest market capitalization, announced stellar results on August 29. Despite the strong performance, the company’s share price fell by around 7% in pre-market trading in New York.
Nvidia posted sales of $30 billion for the quarter from late April to the end of July, representing a 122% year-on-year increase. This figure exceeded forecasts of $28.7 billion. Net income for the same quarter also surged by 168%, reaching $16.6 billion.
Nvidia’s quarterly results were highly anticipated across business circles. These remarkable figures, particularly since the emergence of generative AI, have propelled the company founded by Jensen Huang to the forefront of global stock markets.
Experts suggest that the drop in Nvidia’s share price is not surprising, as the company’s growth rate is beginning to slow down, even though it remains a dominant force. Additionally, concerns over the delayed launch of the next generation of AI chips may have unsettled the markets.
Following these results, global stock markets experienced gains on Thursday. The Frankfurt Stock Exchange’s DAX index climbed to 18,912.47 points, up 0.75%, setting a new all-time high.
The London Stock Exchange rose by 0.15%, Paris by 0.24% and Milan by 0.56%.
In Asia, Hong Kong gained 0.49% in late trading, Shenzhen 0.94%, while Shanghai fell by 0.5%. In Japan, the Nikkei remained stable.
