NVIDIA's Q3 Revenue and AI-Driven Growth
Watching $NVDA closely ahead of their Q3 report. The market's baked in a lot of growth already, but the underlying demand for their H100s and next-gen AI accelerators seems to be outstripping even aggressive estimates. I'm putting the odds at about 70% that they'll beat revenue expectations by more than 5%, primarily driven by continued hyperscaler and enterprise AI capex. The risk, of course, is any hint of margin compression or a slowdown in future order guidance, but the current landscape suggests an acceleration rather than a plateau. If we see a strong beat, I'd expect the stock to test recent highs, even with $EEM showing some choppy consolidation around 66.68. My concern isn't the current quarter's performance, but rather the sustainability of this parabolic growth into late 2024, which will be the real test.
It's interesting to think about how much of the future growth is already priced in. Do you think there's any chance a beat, even a strong one, could still lead to a 'sell the news' event if the guidance isn't equally aggressive?