Nvidia results praised on Wall Street

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Posted Feb 14 2020 at 9:22 amUpdated Feb 14. 2020 at 9:23 am

Nvidia positively surprised Wall Street. The chip and graphics card giant released revenue up 41% in the fourth quarter of 2019 to $ 3.1 billion. A performance that made its title burn by 8% in electronic after-market exchanges.

Analysts had expected revenue of $ 2.96 billion. In detail, sales of processors for data center servers grew faster than expected, reaching $ 968 million (+ 43% year-on-year), against 825.8 million according to analysts’ consensus.

Optimistic for 2020

Sales of video game chips rose 56% to 1.49 billion, but were slightly below expectations (1.52 billion). “Our initiatives are achieving great success,” said Jensen Huang, executive director of the Santa Clara-based group. Nvidia also comes from
get into “cloud gaming”

   .

For the first quarter of 2020, the California group expects revenues between 2.94 billion and 3.06 billion, against 2.85 billion expected by Wall Street. Nvidia clarified that this forecast has been revised downward by 100 million to take into account the likely negative effects of
the coronavirus epidemic,

    that could seize global growth.

Purchase of Mellanox

In March 2019, Nvidia made the biggest acquisition in its history by signing
$ 6.9 billion check for Mellanox

   , an Israeli equipment manufacturer specializing in solutions and components for data centers. Intel and Microsoft were also in the running, according to market rumors.

Nvidia has indicated that the operation should be finalized in the course of 2020. Without however giving a precise date.

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