Nvidia Corp. (NVDA) – Get Report shares slipped lower Thursday after the chipmaker said capacity issues, as well as waning demand, would trim near-term revenue growth in two of its key business sectors.
Nvidia posted overall third quarter revenues of $4.73 billion, a 57% increase from the same period last year and firmly ahead of the Street consensus forecast of $4.4 billion. Earnings for the three months ending in September were pegged at $2.91 per share, Nvidia said, up 63% from last year and 34 cents ahead of Street forecasts.
Data center revenues, which comprise around half of the group’s total, rose 8% on the quarter and 162% from last year to $1.9 billion, thanks in part to a big purchase from a China-based client — likely Huawei Technologies — and the inclusion of its recent acquisition of Mellanox, an Israel-based networking group.
However, the group’s current-quarter guidance