Nvidia’s (Slightly) Slower Quarter; Musk’s Phone Ambitions

Nvidia’s quarterly results, out Wednesday, have become the event of the earnings season. And who can be surprised? After all, here’s a company whose July revenue hit $46.7 billion, up 56% on a year earlier. Little more than two years ago, Nvidia’s quarterly revenue was around $7 billion! Of course, Wall Street traders have long ago lost their sense of wonder at Nvidia’s explosive growth. That growth is slowing down, as it has to eventually—the 56% compared to 69% growth in the April quarter.

Nvidia forecast a marginally lower growth rate of 54% for the current quarter, which likely accounts for the dip in Nvidia’s stock price after the results came out. That projection doesn’t include what Nvidia might get from China, where sales are in limbo right now. While President Donald Trump’s administration has approved sales of Nvidia’s China-specific H20 chips, Nvidia Chief Financial Officer Colette Kress said on Wednesday the company hasn’t yet shipped any. She alluded vaguely to continuing “geopolitical issues,” likely a reference to Chinese authorities’ pressuring local companies not to buy, as we reported here and here.  For more on the quarter, see here.