Nvidia Corp.’s forecast for surging revenue surprised even the most bullish analysts on Wall Street, propelling the chipmaker to the cusp of a US$1 trillion market capitalization and igniting a global jump in stocks linked to artificial intelligence.
The Santa Clara, California-based company gained as much as 29 per cent in premarket trading, on course for a record high, after saying it expects about $11 billion of sales in the three months ending July. Analysts had estimated that figure was going to be roughly $7.2 billion.
Investors this year have doubled down on wagers that the viral success of OpenAI’s ChatGPT and other bots will usher in a new era of spending on the technology that underpins AI. Nvidia’s chips excel at parallel processing, making them well suited for training software by bombarding it with data. TSMC, which manufactures Nvidia’s chips, rose as much as 3.8 per cent in Taipei. Equipment supplier Advantest surged as much as 20 per cent to an all-time high in Tokyo, while Hynix advanced up to 6.8 per cent in Seoul.
Investors were looking to the company for evidence that the surge in interest in AI this year is resulting in higher sales of chips that provide the computing power. The semiconductor maker delivered that with a revenue forecast for the current quarter that dwarfed the average analyst estimate.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Nvidia’s blowout forecast lights fire under AI stocks in $260-billion rallyNvidia is on the cusp of a $1 trillion market cap and has ignited a global jump in stocks linked to artificial intelligence. Read more
Read more »
Stock market today: World stocks slide as U.S. debt worries mountGlobal stock markets and Wall Street futures fell Wednesday as the U.S. government crept closer to a potentially disruptive default on its debt.
Read more »
Street to be named after late philanthropist Maurice RollinsA street that's being created in tandem with the Potters Creek subdivision development will be named after one...
Read more »
Water main break closes down part of Nanaimo's Third StreetCrews were on scene Wednesday, digging up the road between Bruce and Howard Avenue. Traffic is being diverted around the area.
Read more »
Firefighters rescue dog from burning Durham Street buildingPublic asked to avoid downtown due to fire in multi-storey building above Oscar’s Grill
Read more »
Firefighters rescue dog from burning Durham Street buildingPublic asked to avoid downtown due to fire in multi-storey building above Oscar’s Grill
Read more »