Nvidia earnings: AI hero’s stunning quarter still leaves room for doubt about its growth

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The debate about the AI market darling isn’t whether it is fabulously profitable or growing like a rocket ship, but whether its growth can keep going.

A party held at a New York bar called Storehouse on Wednesday night to listen to the chipmaker’s second quarter earnings call caused a minor blow up on Elon Musk’s X platform in recent days. The organiser, tech investor Lauren Balik, insisted the event was an ironic and humorous comment on the and its outsized importance to global markets creates a feverish level of expectation around the world.

But – and there was always going to be a “but”, given the incredible level of expectations surrounding this company – there were some notes of caution. A key cloud hanging over the stock has been rumours of delays to production of its new Blackwell chip, which is the hottest piece of tech kit in the world. Nvidia admitted it had made changes to the Blackwell production process to improve manufacturing yield. But it confirmed it would start shipping these chips in the December quarter, with “several billion dollars” of Blackwell revenue expected in that period.

His passion was clear, but points of evidence, or even an indication on the sort of markers Nvidia is watching to monitor whether they are getting an appropriate return on investment, just weren’t there.So, the great ROI debate is far from over. The believers will be relieved that there is no suggestion Huang sees the boom missing a beat.

 

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