From Nasdaq: 2025-05-29 10:20:00

NVIDIA’s earnings call revealed a hefty $15 billion write-down for lost H20 GPU sales to China, with $7 billion in Q1 and $8 billion in Q2. The company’s flagship GB200 NVL72 rack systems are ramping up, with over 15,000 units projected for Q2, driving bullish sentiment and share price increase.

Colette Kress confirmed significant AI factory build-outs, driving 73% Datacenter revenue growth. Major hyperscalers are deploying nearly 1,000 NVL 72 racks per week, with Microsoft leading the charge. NVIDIA’s full stack architecture supports AI factory deployments, signaling sustained demand and revenue growth.

NVIDIA’s upcoming GB300 systems, sampling at major CSPs, offer seamless transition from GB200 with improved performance and memory. This yearly upgrade cycle, akin to Apple’s iPhone, ensures continued demand for NVIDIA’s GPUs and rack systems, driving multiplicative integration and long-term sales growth potential.

Jensen Huang emphasized the importance of selling to China, highlighting the nation’s significant AI market and the need for US platforms to maintain global leadership. Export controls may inadvertently strengthen Chinese chipmakers and weaken US infrastructure standards, potentially impacting the global AI landscape and US competitiveness.

Zacks Research identifies NVIDIA as a top stock set for significant gains, driven by innovation and a growing customer base. With a track record of successful stock picks, this financial firm stands out as a promising investment opportunity, poised for substantial growth in the coming months.



Read more at Nasdaq: NVIDIA Earnings: 3 Giga Takeaways