Nvidia(US:NVDA) Southwest Securities·2024-03-06 16:00Investment Rating - The report maintains a "Buy" rating for Nvidia (NVDA.O) [1][3][26] Core Insights - Nvidia reported a significant revenue increase of 265% year-over-year and 22% quarter-over-quarter for Q4 FY2024, with total revenue reaching $22.1 billion. GAAP net profit surged by 769% year-over-year to $12.29 billion, while Non-GAAP net profit increased by 491% to $12.84 billion [1][19] - The gaming segment showed strong performance with revenue of $2.98 billion, a 56% year-over-year increase, marking the highest in seven quarters. The launch of the GeForce RTX 40 SUPER series GPU at CES 2024 is expected to further enhance product offerings [2][18] - The data center segment experienced a remarkable revenue growth of 409% year-over-year, reaching $18.4 billion, driven by strong demand for AI acceleration and new product launches [18][19] Summary by Sections Financial Performance - For FY2024, Nvidia's total revenue was $60.92 billion, a 126% increase year-over-year. GAAP net profit was $29.76 billion, up 581%, while Non-GAAP net profit reached $32.3 billion, a 286% increase [1][19] - The report projects a compound annual growth rate (CAGR) for GAAP and Non-GAAP net profit of 40% and 37.8% respectively over the next three years, supported by Nvidia's leading position in the AI GPU market and continuous product innovation [3][26] Business Segments - The data center segment is expected to maintain a high growth trajectory, with revenue projected to reach $98.38 billion in FY2025, reflecting a 107% growth rate [7] - The gaming segment is anticipated to recover, with a projected revenue growth of 15.22% in FY2025, driven by new product launches and improved average selling prices [25][26] Market Position and Future Outlook - Nvidia's strong market position in AI GPUs, coupled with a robust software ecosystem, provides a competitive edge. The upcoming GTC 2024 summit is expected to unveil new products that could further catalyze stock performance [18][19][26]