The more important takeaway is that, like many other companies, NVDA blames weaker economic growth for its forecast downgrades and financial shortfalls. NVDA expects gaming revenue to be 33% lower than last year. NVDA, in a surprise pre-earnings announcement, is slashing its guidance primarily due to poor gaming product sales.

As we noted last week, AMD and INTC lowered their earnings/sales forecasts due to expected weak PC sales. Cards that should cost $599 are going for well north of $1,000, and finding any near their original prices is a pointless endeavor.NVIDIA (NVDA) and other chip makers are warning that chip sales are falling below expectations. The company’s consumer graphics cards are incredibly scarce thanks to a run on them by both cryptominers and resellers using bots to grab as many cards as possible.Īs a result, cards are selling for hundreds of dollars above their manufacturer’s suggested retail price. The company’s stock is up 125% year-to-date, and it’s fresh off of debuting new hardware and software related to its metaverse platform, called Omniverse, its self-driving vehicle initiatives, and its artificial intelligence work.īut Nvidia, like other chipmakers, has also been stung by the chip shortage. To say Nvidia has had an incredible run in 2021 would be an understatement. NVIDIA RTX has reinvented computer graphics with ray tracing and AI, and is the ideal upgrade for the large, growing market of gamers and creators, as well as designers and professionals building home workstations.' “Demand for NVIDIA AI is surging, driven by hyperscale and cloud scale-out, and broadening adoption by more than 25,000 companies. 'The third quarter was outstanding, with record revenue,” Nvidia CEO Jensen Huang said in a statement.

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Nvda earnings expectations