2024: The Year NVIDIA Changed Game Rules
NVIDIA (Ticker AT: NVDA.US) closed 2024 with record numbers and clear dominance in key industries such as artificial intelligence (AI), data centers and advanced graphics. The company, which remains a pillar of the technology sector, continues to surprise analysts and investors alike with its ability to exceed expectations and lead innovation.
Fourth Quarter 2024 Financial Results
In the fourth quarter of 2024, NVIDIA reported revenue of $22.1 billion, beating initial estimates of $20.6 billion. Earnings per share (EPS) came in at $5.16, well ahead of the forecast of $4.64. This solid performance reflects the impact of strong demand for its high-performance chips, used in AI, advanced graphics and machine learning applications.
The data center segment again stood out as the main growth driver, generating more than 60% of total revenue. Meanwhile, the gaming segment contributed $3.4 billion, demonstrating that, although NVIDIA has diversified its business, the gaming market remains an important pillar.
Promising Outlook for 2025
Looking ahead to the first quarter of 2025, NVIDIA projects revenue of $24 billion, beating Wall Street expectations of $22.2 billion. This optimism is supported by the rise of AI and the increasing adoption of its technology innovations, such as H100 GPUs and the new Blackwell series, designed to accelerate big data processing.
In addition, the company continues to expand its influence in emerging industries such as automotive and professional visualization. Its NVIDIA DRIVE platform, focused on autonomous vehicles and advanced driver assistance systems (ADAS), is gaining traction in the automotive market.
Diversification and Technology Leadership
1. Gaming: A Relevant Pillar
GeForce RTX graphics cards keep NVIDIA as a market leader in video games, especially thanks to their integration with platforms such as Steam and GeForce NOW. Although growth in this segment was moderate, it remains crucial for the company.
2. Data Centers: Dominance in the Age of AI
The adoption of A100 and H100 GPUs for AI and cloud computing applications reinforces NVIDIA's role as a key player in this sector. Companies such as Microsoft and Google continue to rely on its products to develop advanced processing solutions.
3. Automotive and Professional Visualization
In automotive, NVIDIA is advancing technologies for autonomous vehicles, while its professional visualization solutions, such as NVIDIA Omniverse, are transforming industries such as architecture, 3D design, and filmmaking.
Technical Aspect
If we look at the chart NVIDIA started its upward climb in October last year, a whole year in an unstoppable bullish range. The release of yesterday's data allows us to understand that the firm's strength has a loyal following. Looking at the crosses of averages, the 200 average is well separated from the 100 and 50 averages, so the momentum seems to be sustained by a market believer in the company. If we look at the Check Point (POC) we see that the advance in its price has only generated 3 bells with a check point marked in a zone of $50 so if the company does not perform as it should in 2025 it would be more than likely that this would be its current floor, which coincides with the area of the upward momentum. RSI at 63.88% marks us a perception of a company with a strong following and it would not be unusual to see it reach the $200-$220 price this year if everything continues in such a trending market.
Conclusion: An Unstoppable Technology Powerhouse
NVIDIA's 2024 results not only exceeded expectations, but also underscore its ability to adapt and lead in an ever-changing technology environment. With record revenue and prospects for sustained growth, the company has established itself as a cornerstone of the global technology industry.
Looking ahead to 2025, NVIDIA is positioned to continue to dominate key markets such as AI, gaming and automotive, with a continued focus on innovation and sustainable growth.
Ion Jauregui - Analyst ActivTrades
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The information provided does not constitute investment research. The material has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and such should be considered a marketing communication.
All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acing on the information provided does so at their own risk.
Fourth Quarter 2024 Financial Results
In the fourth quarter of 2024, NVIDIA reported revenue of $22.1 billion, beating initial estimates of $20.6 billion. Earnings per share (EPS) came in at $5.16, well ahead of the forecast of $4.64. This solid performance reflects the impact of strong demand for its high-performance chips, used in AI, advanced graphics and machine learning applications.
The data center segment again stood out as the main growth driver, generating more than 60% of total revenue. Meanwhile, the gaming segment contributed $3.4 billion, demonstrating that, although NVIDIA has diversified its business, the gaming market remains an important pillar.
Promising Outlook for 2025
Looking ahead to the first quarter of 2025, NVIDIA projects revenue of $24 billion, beating Wall Street expectations of $22.2 billion. This optimism is supported by the rise of AI and the increasing adoption of its technology innovations, such as H100 GPUs and the new Blackwell series, designed to accelerate big data processing.
In addition, the company continues to expand its influence in emerging industries such as automotive and professional visualization. Its NVIDIA DRIVE platform, focused on autonomous vehicles and advanced driver assistance systems (ADAS), is gaining traction in the automotive market.
Diversification and Technology Leadership
1. Gaming: A Relevant Pillar
GeForce RTX graphics cards keep NVIDIA as a market leader in video games, especially thanks to their integration with platforms such as Steam and GeForce NOW. Although growth in this segment was moderate, it remains crucial for the company.
2. Data Centers: Dominance in the Age of AI
The adoption of A100 and H100 GPUs for AI and cloud computing applications reinforces NVIDIA's role as a key player in this sector. Companies such as Microsoft and Google continue to rely on its products to develop advanced processing solutions.
3. Automotive and Professional Visualization
In automotive, NVIDIA is advancing technologies for autonomous vehicles, while its professional visualization solutions, such as NVIDIA Omniverse, are transforming industries such as architecture, 3D design, and filmmaking.
Technical Aspect
If we look at the chart NVIDIA started its upward climb in October last year, a whole year in an unstoppable bullish range. The release of yesterday's data allows us to understand that the firm's strength has a loyal following. Looking at the crosses of averages, the 200 average is well separated from the 100 and 50 averages, so the momentum seems to be sustained by a market believer in the company. If we look at the Check Point (POC) we see that the advance in its price has only generated 3 bells with a check point marked in a zone of $50 so if the company does not perform as it should in 2025 it would be more than likely that this would be its current floor, which coincides with the area of the upward momentum. RSI at 63.88% marks us a perception of a company with a strong following and it would not be unusual to see it reach the $200-$220 price this year if everything continues in such a trending market.
Conclusion: An Unstoppable Technology Powerhouse
NVIDIA's 2024 results not only exceeded expectations, but also underscore its ability to adapt and lead in an ever-changing technology environment. With record revenue and prospects for sustained growth, the company has established itself as a cornerstone of the global technology industry.
Looking ahead to 2025, NVIDIA is positioned to continue to dominate key markets such as AI, gaming and automotive, with a continued focus on innovation and sustainable growth.
Ion Jauregui - Analyst ActivTrades
*******************************************************************************************
The information provided does not constitute investment research. The material has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and such should be considered a marketing communication.
All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acing on the information provided does so at their own risk.
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