Nvidia(US:NVDA) Guoxin Securities·2024-11-22 05:31Investment Rating - The investment rating for NVIDIA is "Outperform" [4][25]. Core Views - NVIDIA's FY25Q3 financial performance exceeded expectations, with revenue of $35.1 billion, a year-over-year increase of 94% and a quarter-over-quarter increase of 17%. The company expects strong demand for its Blackwell products in Q4 [2][7]. - The data center segment generated $30.8 billion in revenue, reflecting a 112% year-over-year increase, driven by robust demand for the Hopper computing platform. The gaming segment also showed growth, with revenue of $3.3 billion, up 15% year-over-year [2][11]. - The company anticipates Q4 revenue guidance of $37.5 billion, with GAAP gross margins projected at 73.0% [2][18]. Financial Performance - For FY25Q3, NVIDIA reported a GAAP gross margin of 74.6%, with operating profit increasing by 110% to $21.9 billion and net profit rising by 109% to $19.3 billion [2][7]. - Revenue forecasts for FY2025-2027 are $123.7 billion, $164.2 billion, and $184.6 billion, respectively, with net profits expected to be $66.9 billion, $89.4 billion, and $102.9 billion [2][21]. Business Segments - Data Center: Revenue of $30.8 billion, up 112% year-over-year, driven by strong demand for Hopper products [2][11]. - Gaming: Revenue of $3.3 billion, reflecting a 15% year-over-year increase, supported by demand for GeForce RTX 40 series GPUs [11]. - Automotive: Revenue of $449 million, a 72% year-over-year increase, driven by the company's autonomous driving platform [11]. Market Trends - The report highlights the ongoing transition from Hopper to Blackwell products, with expectations of strong demand and successful delivery despite engineering challenges [2][7]. - The software segment is projected to generate over $2 billion annually, with nearly 1,000 companies utilizing NVIDIA's NIM [2][11].