Are These 2 Things Warning Signs for Nvidia Investors?

Nvidia (NASDAQ: NVDA) has wowed investors continuously with its earnings growth, and that's led to a soaring share price. The stock has climbed 2,500% over five years and is heading for a 140% gain this year. The reason for such performance is simple. Nvidia has become a giant in one of today's highest-growth businesses: artificial intelligence (AI). The tech powerhouse dominates the AI chip market, with 80% share, and offers customers a full suite of AI products and services.

All of this has translated into growth, helping Nvidia report record revenue quarter after quarter and surpass analysts' earnings estimates. That was the case in the most recent quarter, as revenue reached $30 billion -- that's more than the company's full-year revenue as recently as the 2023 fiscal year. Demand continues to soar for Nvidia's products, and the company is even about to launch its new architecture, Blackwell, in the coming months.

Still, two things in Nvidia's latest report weren't as bright as the rest of the picture. Are they warning signs for Nvidia investors? Let's find out.

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Source Fool.com