Tech

Nvidia approaches $800 billion market cap following strong earnings report

Key Points
  • Nvidia shares briefly rose more than 11% Thursday after the company beat earnings and sales expectations for the third quarter.
  • As of market close, Nvidia's stock was up more than 144% year to date. 
  • Jim Cramer said it's slated to be the next trillion-dollar company on CNBC's "Squawk on the Street"

In this article

Jen-Hsun Huang, chief executive officer and co-founder of Nvidia, speaks at an International Consumer Electronics Show in Las Vegas.
Jacob Kepler | Bloomberg | Getty Images

Nvidia shares briefly rose more than 11% on Thursday morning after the company beat earnings and sales expectations for the third quarter. The stock closed up more than 8%

The chip company reported adjusted earnings per share of $1.17 and revenue of $7.1 billion. Analysts expected $1.11 earnings per share and revenue of $6.82 billion.

Earning per share rose 60% year-over-year and revenue was up 50% from a year ago. Nvidia also said it expects $7.4 billion in revenue in the current quarter, beating the $6.86 billion forecasted by analysts.

As of market close, Nvidia's stock was up more than 144% year to date. On CNBC's "Squawk on the Street," Jim Cramer said it's slated to be the next trillion-dollar company. Its market cap briefly passed $800 billion thanks to the rise in the share price on Thursday.

The company saw $2.9 billion in data center sales, up 55% from the year-ago quarter. More customers are seeking out Nvidia's chips for artificial intelligence applications like understanding human speech, wrote Nvidia CFO Colette Kress.

Nvidia's growth is still in early stages, says BofA semiconductor analyst
VIDEO4:0204:02
Nvidia's growth is still in early stages, says BofA semiconductor analyst