NVDA: Nvidia Stock Soars Past $1,000 as Record AI Chip Sales Crush Revenue Expectations

Chip maker announced a 10-for-1 stock split in bid to make shares more affordable after they jumped 25 times in the last five years.

• It’s Nvidia’s NVDA stock market and we’re all just living in it. The chip giant delivered yet another blowout earnings report, showing a whopping 262% revenue growth year-over-year, almost on par with last quarter’s 265% growth. Nvidia said its April-quarter sales came in at $26 billion, beating consensus calls for $24.7 billion. Not only that, but its data center business expanded by more than 400% from the year-ago quarter, thanks to relentless demand for AI servers.
• Shares of Nvidia rocketed higher by 6% in after-hours trading and are looking to open Thursday’s session trading above the milestone of $1,000 a piece. Nothing is more interesting to investors than trying to figure out how much Nvidia is worth. Over the past five years, the chip making company’s valuation has jumped more than 25 times. That makes a $1,000 investment blossom into a chunky $25,000 win.
• For the current quarter, the dominant AI player said it expects revenue of $28 billion, eclipsing Wall Street estimates of $26.8 billion. During the quarter, Nvidia will chop down its shares on a 10-for-1 basis, meaning that share price will drop by 10 times to factor in the stock split, effective June 10. Large companies sometimes tend to break down their shares as a way to make them look more affordable to retail investors.