NVIDIA shows signs ... [2008 - 2017]

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Wow, it's really hammering down on them now. Well, half a year without competitive mid-range/low-end has to show somewhen.
 
http://www.ibtimes.com/articles/400...r-downgrade-sell-price-target-estimates-e.htm

UBS Securities downgraded its rating of chipmaker Nvidia Corp. to Sell from Neutral on Friday, on competitive pressures and execution issues that may limit growth. The brokerage lowered its price target to $8 from $12.75.

Orji's 2011 second quarter EPS estimate is down 40 percent to $0.12, and his estimate for the year is down by 32 percent to $0.65. His 2012 estimate was cut by 41 percent to $0.70 and the 2013 estimate by 35 percent to $0.85.

I don't usually pay much attention to analysts but ....... it's nV. :devilish: ;-)

:runaway:

Disclaimer: My real name is not Charlie.:LOL:
 
I'm not sure am I looking with wrong words or what, but is there anywhere available nV fiscal Q1/11 earnings split into consumer/professional/soc (or which every way they split them)?
 
Help me out on this one.
A couple of weeks ago people were saying the 450 would be in UK shops mid September. We've now got Fudo saying "delayed till the 12th", another site saying in shops on the 14th ...

Is this "delayed" a non-news item, a mis-translation or do they mean the launch is delayed until Sept' with availability several weeks after launch?
 
If they were always planned for mid-late september, how can they be delayed in the first place? Maybe they're talking about thing they wanted on the market earlier but are not coming out 'till Q4?
 
If I may be so bold as to say "Holy Shit!". Didn't they have margins well over 40%?
 
I guess Dave was right, we just had to wait for the corresponding quarter to compare it to the ATI results. What were the ATI margins btw?
 
On a GAAP basis, the company recorded a net loss of $141.0 million, or $0.25 per share, compared with net income of $137.6 million, or $0.23 per diluted share, in the previous quarter and a net loss of $105.3 million, or $0.19 per share, in the same period a year earlier. GAAP gross margin was 16.6 percent compared with 45.6 percent in the previous quarter and 20.2 percent in the same period a year earlier.

Results were impacted by a large inventory write-down and a charge related to a weak die/packaging material set.

The weak die/packaging material set was used in certain versions of previous generation MCP (chipset) and GPU products shipped before July 2008 and used in notebook configurations. The charge, of $193.9 million, includes additional remediation costs, as well as the estimated costs of a pending settlement of a class action lawsuit consolidated in the District Court for the Northern District of California in April 2009 related to this same matter. The settlement is subject to certain approvals, including final approval by the court. Excluding this die/packaging material charge and the associated tax impact, non-GAAP net income was $20.1 million, or $0.03 per diluted share.

The outlook for the third quarter of fiscal 2011 is as follows:
-- Revenue is expected to be up 3 to 5 percent from the second quarter.
-- GAAP gross margin is expected to increase to 46.5 to 47.5 percent.
-- GAAP operating expenses are expected to be approximately $300 million.
-- GAAP tax rate of 17 to 19 percent.
 
Wow, that's quite a bit worse than I was expecting.

I was expecting margins to drop a bit with a full quarter of GF100 production, but holy hell 45.6% -> 16.6% Quarter to Quarter. And they even managed to drop YoY.

As well Bumpgate is still haunting them with an additional ~200 million? And that only accounts for "estimated" costs from a court settlement. I wonder if this is also referring to the Rambus case and resulting injunction on products. Perhaps an indication of how much they hope they can get away with paying.

Expectations of margins rebounding is Q3 may be optimistic unless they've stopped manufacturing of GF100 for the consumer space. In other words, they might be working on clearing inventory while hoping they have a replacement ready by the time inventory runs out. Or perhaps the injunction on certain Nvidia products has already started to impact their ability to bring in product (bond fee's, etc) and expectations of working out past damages + licensing deal with Rambus is playing into the improved margin forecast for Q3.

Perhaps there's a super secret GF102 in the works? :)

Regards,
SB
 
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