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Nvidia boss Jensen Huang:
The stock market darling decides the future direction of the stock markets
Photo: RITCHIE B. TONGO / EPA
Everyone is looking at Nvidia: The US chip manufacturer, which benefits like no other from the boom in artificial intelligence, presented its results for the past quarter on Wednesday after the US stock market closed.
The numbers exceeded expectations: Thanks to the ongoing boom in artificial intelligence (AI), Nvidia reported quarterly sales above market expectations for the sixth time in a row. The chip manufacturer said that revenue had more than tripled to $22.1 billion at the end of 2023.
Analysts had only expected $20.621 billion. The company forecast sales of $24 billion for the current quarter.
The share, which had been trading at a loss of almost 3 percent before the figures, fluctuated heavily on the stock exchange and was recently marginally positive. After the significant price gains of the past, there is initially no strength to continue the price rally: Since Nvidia's market value has almost tripled within a year and Nvidia itself is among the "Magnificient Seven" (Apple, Amazon, Alphabet, Microsoft, Meta, Tesla, Nvidia) occupies a special position, the numbers are also seen as a pacesetter for the US tech sector as a whole.
Since its record high of almost $740 a week ago, the share price has fallen slightly and is currently trading at $385.
“A few years ago, no one would have thought that the figures and outlook of a single company would at some point captivate the global stock exchanges and almost paralyze them in advance,” said market strategist Jürgen Molnar from the trading company RoboMarkets.
After the price increase of more than 40 percent since the beginning of the year, the share price has fallen enormously. But severe turbulence is also expected for the market as a whole if Nvidia disappoints the extremely high expectations of its shareholders, who are used to success.
Given the uncertain outlook, investors once again turned to gold. The precious metal rose in price by up to 0.4 percent to $2,031.99 per troy ounce, its highest level in almost two weeks.