Produced "Attitude" column of NetEase Technology
Author Cui Yuxian
Editor Ding Guangsheng
No accident, Yingweida The financial report of Shuang San also crushed the market expectations. It is exaggerated to say that human beings can no longer stop Nvidia.
In the early morning of May 23 (Beijing time), Nvidia announced its first quarter financial report of fiscal year 2025 as of April 28. The financial report can be said to be in a state of overall exceeding expectations: Revenue was 26 billion US dollars, up 262% year on year (analysts expected 24.65 billion US dollars); The net profit was 14.81 billion US dollars, up 628% year on year. Nvidia's four major business segments all grew to varying degrees, and the data center business, which the industry most focused on, grew by 427% year on year.
Netizens sighed, did Nvidia get on a jet?!
The overall financial report that exceeded expectations led to the rise of share prices, In after hours trading, Nvidia's share price rose more than 5%, exceeding $1000 for the first time. The closing price of the day was $949.50 per share, with a total market value of $2.34 trillion, just one step away from Apple ($2.93 trillion).
A netizen did an arithmetic problem, and the current market value of Nvidia is equivalent to "TSMC+Asma"+ AMD +The sum of Qualcomm+Applied Materials+Texas Instruments+Micron+Intel!
(from network)
Founder and CEO of Nvidia Huang Renxun Said: "The new industrial revolution has begun!
Nvidia's frenzy is still going on
"The head of the global stock market is not blown out. Nvidia is like an aircraft carrier, but it is advancing at the speed of a jet!" After seeing Nvidia's latest financial report, some netizens said with emotion.
NVIDIA's financial report for the first quarter of fiscal year 2025 has achieved multiple growth in both revenue and net profit, and four business segments (data center business, game business, professional visualization business, and automated driving business), and has exceeded expectations. With the latest financial report, Nvidia's sales have exceeded expectations for 21 consecutive quarters; Earnings have exceeded expectations for six consecutive quarters. It's really a proper AI overlord.
In terms of stock price, Nvidia's stock soared by 240% in just one year (2023), and rose by 88% this year. At present, Nvidia's stock shows little sign of weakening.
At a time when everyone was worried that the stock's rising trend was too fierce and was wary of bubbles, a third party agency released a report: Nvidia still had a lot of room for growth in the future.
The latest report of Goldman Sachs raised the target share price of Nvidia from $1000 to $1100, which means that Nvidia still has about 22% growth potential compared with the current level. AI is still the main growth driver of Nvidia.
Nvidia can be said to be the "strongest shovel seller" in the AI field. In particular, at the 2024 GTC conference, Nvidia released the B200, which is said to surpass any generation, even all AI acceleration chips in the world. This chip is based on Blackwell architecture and has 208 billion transistors, compared with H100 GPU Its performance has been improved by 30 times. The AI training performance is 2.5 times that of Hopper, the reasoning speed is 5 times that of the previous, and the energy efficiency will be improved by 25 times.
Although the price of the chip has not yet been announced, the third party agency estimates that the price of a single GPU may be about 30000 to 40000 dollars, and it will be listed in October and November. Wall Street believes that the product release will consolidate Nvidia's current forecast of achieving double-digit high growth in the 2025 and 2026 fiscal years.
The Blackwell series released by Nvidia can just take a ride on the big infrastructure of AI. According to Omdia Research, only last year (2023), the H100 shipments of major global technology companies reached 650000 pieces, including Meta Microsoft There are 15000 GPUs each. At the latest financial report teleconference, major technology giants also said that they would invest more money in artificial intelligence infrastructure in 2025. This means that there will be more demand for GPUs. As the monopolist of high-end AI chips, Nvidia is undoubtedly the biggest beneficiary.
At this financial report call, Huang Renxun believed that "the next industrial revolution has begun. All companies and countries are working with Nvidia to shift the traditional data center worth trillions of dollars to accelerated computing, and build a new data center such as an AI factory to produce this new commodity of AI."
This is the market opportunity of Nvidia.
Guo Junli, research director of IDC Asia Pacific, once predicted that the scale of AI chips would exceed 65 billion dollars in 2024. In combination with its market position, Nvidia will be the full beneficiary of the demand explosion.
Nvidia executives said in this conference call that both H200 and Blackwell chips are in short supply, and this situation may be maintained until 2025. Blackwell chip capacity is running at full capacity.
Nvidia Racing is still going on.
Danger is everywhere, Nvidia still needs to continue running
Although for a while, Nvidia's AI supremacy was hard to shake, and Nvidia was still soaring in terms of market value and business, but the crisis still existed.
Competitor AMD has been catching up, and new start-ups are also studying XPU, which will not be mentioned for the time being. What makes Nvidia sad is that its customers are becoming enemies and are also making AI chips.
The financial report shows that Nvidia's main customers come from Amazon, Meta, Microsoft, Alphabet and Tesla, which are important competitors in the AI competition. At the same time, these companies are also developing their own AI chips.
At this year's "Cloud Next 2024" conference, Google unveiled for the first time its first self-developed Arm architecture CPU specifically designed for data centers - Axion; In May 2023, Meta also officially announced its self-developed MTIA v1 chip focusing on data center services; In November 2023, Microsoft launched two customized chips Maia 100 and Cobalt 100; In December 2023, Amazon AWS also launched two series of AI chips, namely, Training and Inferentia, developed by itself
Even Sam Altman, CEO of OpenAI, is preparing funds to build his own AI chips.
In response, Huang Renxun also said in an interview with the media that, "NVIDIA has more competitors than anyone else in the world. Competitors come not only from competitors, but also from customers."
Nvidia acknowledges the fierce competition in the field of artificial intelligence. But they said they were ready to launch more powerful products to fight back, not only in the hardware field.
"Our company's architecture has become a standard after about 30 years, which is our advantage. I would even be surprised if customers could have more cost-effective alternatives. Our goal is to add so much value that substitutes are not just about cost. This requires a lot of effort. We must continue to innovate. We cannot take anything lightly. " Huang Renxun mentioned in an interview.
In a word, we can see Huang Renxun's strong self-confidence and sense of crisis. He once said, "When you can't tell whether you are looking for food or avoiding becoming food, just run."
Nvidia has been running and never stopped.
