Benefited from Artificial Intelligence and Driverlessness Nvidia's 4th quarter revenue rose 55%

The latest quarterly report explains why Nvidia, a graphics chip (GPU) maker, became the darling of the 2016 capital market. After a consecutive increase of six quarters, almost all of its business areas have experienced double-digit growth in revenue, with artificial intelligence. The core solutions in the field lead the growth of GPU and automotive business. However, the uncertainty in the field of deep learning and the gradual maturation of market competition will become the biggest challenge for Nvidia in 2017. In the past week, AMD's stock rose nearly 12%. In addition to the favorable Q4 revenue, its latest progress in the AI ​​sector has broken the current pattern of the largest single-chip company.

Nvidia’s latest quarterly report from graphic processor (GPU) once again explains why it became the darling of the capital market in 2016. After six consecutive quarters of growth, almost all of its business areas have seen double-digit growth in revenue. Leading the growth of GPU and automotive business with core solutions in the field of artificial intelligence.

On February 10th, Beijing Time, Nvidia announced its fiscal fourth quarter financial results for the fiscal year ended January 29th. According to the report, the company’s revenue for the quarter was US$2.173 billion, compared to US$1.401 billion in the same period of last year, an increase of 55% year-on-year; according to US GAAP, net profit was US$655 million, same period last year The net profit was US$207 million, a year-on-year increase of 216%. The diluted profit per share was US$0.99. The same period last year was US$0.35 per share, a year-on-year increase of 183%.

"This growth has placed Nvidia in a position where technology companies have been growing rapidly before the Internet bubble," said Therese Poletti, a senior Silicon Valley technology commentator.

However, under such favorable financial reports, the market did not pay quickly. After the financial report was released, Nvidia's share price had a significant decline, and fell 2.23% to 116.38 US dollars per share in the early morning of February 10 in Beijing time.

"After the market value tripled in 2016, the market began to question whether such growth could continue, especially on the basis that auto-pilot still has uncertainty," said a US stock analyst.

Highlights of the 2016

In this quarter's financial report, Nvidia's graphic processing unit business revenue increased by 57% to 1.85 billion US dollars, accounting for more than 3/4 of its total revenue. Nvidia is the traditional leading force in the high-end PC game market. Its chips are used to support games with higher picture requirements, such as Electronic Arts' Titanfall 2 and Ubisoft Entertainment's Watch Dogs 2.

Nvidia’s revenue in the automotive business increased by 37.6% to US$128 million. Nvidia produces the DRIVE PX 2 driverless system for Tesla. Research firm FactSet StreetAccount expects analysts to expect Nvidia’s auto business revenue to reach $135.3 million.

Nvidia's data center business continues to grow rapidly, with revenue more than doubled to $296 million. Amazon AWS, Microsoft Azure, Alibaba Cloud are all customers of the company. The advantage of the GPU is not only to increase the speed of the server, but also to reduce the cost of the data center.

From the perspective of specific technological innovations, Nvidia released an advanced machine learning chip Tesla P100 GPU in 2016. According to Nvidia CEO Huang Renxun, this product has 12 times faster task processing than the previous generation of Nvidia. The $2 billion development of the chip integrates 150 billion transistors.

NdFeb Magnet

NdFeb Magnet,Sintered NdFeb Magnet,Sintered NdFeB Magnet

Ningbo Wewinmagnet Co.,Ltd , http://www.wewinmagnet.com