Investors worried about mining
Nvidia forecast second quarter revenue above analysts' estimates but shares fell a percent because the outfit could not say for certain how much of its recent revenue rise was driven by cryptocurrency mining.
Demand for Nvidia graphics chips for video gaming boomed through the pandemic. Sales for gaming chips were $2.76 billion, more than double the previous year and above estimates of $2.47 billion. This added several years of rapid sales growth for data centre chips used in artificial intelligence applications such as image recognition.
But investors again seemed put off by a surge in purchases of Nvidia chips for cryptocurrency mining, which tends to occur when the value of the currencies rises. To distinguish volatile demand for crypto-mining chips from its other more stable business lines that investors are tracking closely, Nvidia has tried to use technical changes to steer miners away from its gaming chips and toward purpose built chips for mining.
Nvidia said those crypto-specific chips brought in $155 million in its first quarter. The company said crypto miners also gave its much larger gaming chip segment a boost but it was not sure by how much. Crypto-specific chip sales are expected to rise to $400 million in the second quarter, the company said.
https://fudzilla.com/news/gaming/529...-street-thinks
Nvidia says it will do better than Wall Street thinks
28th May 2021, 11:32
Nvidia says it will do better than Wall Street thinks 
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