NVIDIA Rallies In Pre-market On Encouraging Quarterly Results And Outlook

(RTTNews) - Shares of NVIDIA Corporation (NVDA) are rising more than 13 percent in pre-market on Thursday at $762.81 after reporting sharp increase in its fourth-quarter profit as well as revenue primarily driven by nearly 400 percent growth in Data Center revenue. The tech giant's first-quarter revenue outlook also came in above the Street view.

"Accelerated computing and generative AI have hit the tipping point. Demand is surging worldwide across companies, industries and nations," commented Jensen Huang, founder and CEO of NVIDIA.

The company's earnings soared to $12.29 billion, or $4.93 per share from $1.41 billion, or $0.57 per share, in last year's fourth quarter.

Excluding special items, earnings per share were $5.16, that beat the average estimate of analysts polled by Thomson-Reuters of $4.63 per share.

Revenue for the quarter jumped 265.3% to $22.10 billion from $6.05 billion last year. Data Center revenue of $18.4 billion increased 409% year-on-year.

Looking forward to the first quarter, NVIDIA expects revenue to be $24.0 billion, plus or minus 2 percent. The consensus estimate stands at $20.62 billion.

NVIDIA shares had closed at $674.72, down 2.85 percent on Wednesday. The stock has been trading in the range of $222.97 - $746.11 in the last 1 year.