NVIDIA (NVDA) Shocks the Street with a Q2 Miss But Shares Moving Higher
Tweet
Share
E-mail
Get Alerts NVDA Hot Sheet
Price: $214.72 -0.98%
EPS Growth %: +100.0%
Financial Fact:
Income (loss) before income tax expense: 621M
Today's EPS Names:
BTTX, VAXX, ELYS, More
EPS Growth %: +100.0%
Financial Fact:
Income (loss) before income tax expense: 621M
Today's EPS Names:
BTTX, VAXX, ELYS, More
Join SI Premium – FREE
Shares of NVIDIA (Nasdaq: NVDA) are surging after-hours despite what some traders are calling a "large" Q2 miss on both the top and bottom lines. After closing up 0.9% this afternoon, NVIDIA shares are now up another 6% to 9.42 in the post-market session.
The chip-maker reported quarterly non-GAAP net income of $20.1 million, or $0.03 per diluted share, a nearly 87% decline from the $0.23 adjusted number reported during the same quarter last year. Compared to the analyst consensus, NVIDIA's missed its bottom low number by 8 cents.
Turning to the top line, the company saw total sales of $811.2 million, up about 4% from the $776.52 million reported during Q209. The Street had been looking for quarterly sales of $831.88 million.
Non-GAAP gross margin, always an important metric for players in the Semiconductor sector, came in at 38.9% during Q2, down sharply from the 45.6% reported last quarter, but up from the 35.6% reported in the same quarter during '09.
NVIDIA's FY11 guidance also came in on the softer side: sales are expected to be up 3-5% on a GAAP gross margin which is expected to rise to 46.5-47.5%.
With chatter related to a drastic slowdown in the Semi sector making the rounds recently, several investors are attributing NVIDIA's after-hours strength to a short-squeeze. Short-sellers may have jumped in ahead of the earnings, but, even with the weak numbers, it seems the trade moved against them.
UPDATE: Click here to see some highlights from NVIDIA's Q2 conference call.
The chip-maker reported quarterly non-GAAP net income of $20.1 million, or $0.03 per diluted share, a nearly 87% decline from the $0.23 adjusted number reported during the same quarter last year. Compared to the analyst consensus, NVIDIA's missed its bottom low number by 8 cents.
Turning to the top line, the company saw total sales of $811.2 million, up about 4% from the $776.52 million reported during Q209. The Street had been looking for quarterly sales of $831.88 million.
Non-GAAP gross margin, always an important metric for players in the Semiconductor sector, came in at 38.9% during Q2, down sharply from the 45.6% reported last quarter, but up from the 35.6% reported in the same quarter during '09.
NVIDIA's FY11 guidance also came in on the softer side: sales are expected to be up 3-5% on a GAAP gross margin which is expected to rise to 46.5-47.5%.
With chatter related to a drastic slowdown in the Semi sector making the rounds recently, several investors are attributing NVIDIA's after-hours strength to a short-squeeze. Short-sellers may have jumped in ahead of the earnings, but, even with the weak numbers, it seems the trade moved against them.
UPDATE: Click here to see some highlights from NVIDIA's Q2 conference call.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Nscale targets up to $3B in US IPO as soon as September - Bloomberg
- Jupiter Neurosciences prices $2M registered direct offering of shares
- enVVeno Medical (NVNO) files $100M mixed shelf
Create E-mail Alert Related Categories
Earnings, Insiders' BlogSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
