NVDA) stock

Nvidia's latest earnings were better than expected, but the company provided a soft outlook citing impacts from Covid-19 and Russia.

Nvidia shares are trading lower in late trading Wednesday, after the chip maker provided a softer-than-expected outlook for its July quarter. In March, Nvidia had announced the halt of all product sales in Russia. Meanwhile, the issues involving Covid-related manufacturing shutdowns in China are consistent with recent reports from other companies, including both Cisco Systems (CSCO) and Apple (AAPL). The company cited the impact of both reduced business in Russia and Covid-related manufacturing shutdowns in China.

The US software giant has trimmed its Q2 revenue forecasts having enjoyed a better-than-expected first quarter.

Type in NVIDIA’s ticker symbol (NVDA) and the number of shares you want to buy or the amount of money you’re prepared to invest. Many brokerages also allow you to add a ‘stop loss’ once you have bought the shares, which allows you to limit your losses if the share price falls. However, drip-feeding your investment may sacrifice capital growth if the share price is rising and you will also pay more in share-trading fees. If the pound strengthens against the dollar, your shares will be worth less in sterling (and vice versa). At some point, you will want to sell your holdings. Rather than waiting to build up a lump sum, it means an investor’s money can be put to use in the market straightaway. This follows a $2.1 (£1.7) billion return to shareholders in the first quarter via share repurchases and cash dividends. You should be able to buy US shares through most brokerage accounts. NVIDIA benefitted from the rise in demand for video gaming devices and personal computers during the pandemic. Your investment objectives will determine what type of shares you invest in, whether high-growth technology shares or more defensive companies with a reliable dividend stream. As with other US technology stocks, NVIDIA is taking measures to offset rising costs in the challenging macroeconomic environment. NVIDIA decreased its second quarter revenue estimate to $8.1 (£6.4) billion, representing a 2% decrease from the first quarter.

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Eric Cuka has positions in Nvidia. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy. The video was published on May 25, 2022. Nvidia guided lower for the current quarter.

NVDA stock is retreating after the chip maker's Q2 revenue guidance came in below analysts' average estimate.

The company reported that the demand for its graphics processors remains strong, while the sales of its data center chips had soared 83% YOY last quarter. Nvidia estimated that the war in Ukraine and the Covid-19 lockdowns in China would lower its revenue by about $500 million. For Q2, however, the chip maker predicted that its top line would be $8.1 billion, “plus or minus 2%.” Analysts, on average, had expected Nvidia’s Q2 sales to be $8.44 billion.

According to the Nvidia Q1 report, the company recorded a revenue of $8.29B, up 46% compared to last year and 8% from the prior quarter.

Notably, the company has stated that the ongoing Russian invasion of Ukraine’s territory and the China lockdowns are major setbacks. Our new chips and systems will greatly advance AI, graphics, Omniverse, self-driving cars, and robotics, as well as the many industries these technologies impact,” Huang added. And the gaming segment recorded $3.62 billion in revenue, up 31% from a year ago. Data Center has become our largest platform, even as Gaming achieved a record quarter,” added he. Nvidia beat analyst estimates of $8.10 billion during the quarter that ended on May 1, 2022. According to market data provided by MarketWatch, NVDA stock is exchanging hands at around $158.17, down 6.82 percent from Wednesday’s closing price.