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Nvidia sets fresh sales record amid fears of an AI bubble and Trump’s trade wars

3 days ago
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Chipmaker Nvidia set a fresh sales record in the second quarter, surpassing Wall Street expectations for its artificial intelligence chips.But shares of the chip giant still dropped 2.3% in after hours trading, in a sign that investors’ worries of an AI bubble and the repercussions of Donald Trump’s trade wars are not quelled.Nvidia’s financial report was the first test of investor appetite since last week’s mass AI-stock selloff, when several tech stocks saw shares tumble last week amid growing questions over whether AI-driven companies are being overvalued.On Wednesday, Nvidia reported an adjusted earnings per share of $1.

08 on $46.74bn in revenue, surpassing Wall Street’s projection of $1.01 in earnings per share on $46.05bn in revenue, according to Fact Set data.But investors had high expectations for the company.

Some of the market reactions may be to the slight misses in other parts of the company’s business, including data center revenue.Nvidia posted $41.1bn in data center revenue, missing the $41.3bn Wall Street was expecting.“Coming off a new rally to all-time highs, being merely on the mark in terms of revenue simply wouldn’t cut it for Nvidia this time around,” said Thomas Monteiro, senior analyst at Investing.

com,“Saying the stock was priced for perfection would be an enormous understatement, as it was, in fact, in need of another massive beat,”The company also said it had not assumed any shipments of its H20 chips to China in the outlook,The chip is at the heart of concerns over the repercussions of the trade war between the US and China,Earlier this year, Trump banned AI chip sales in China, a move that resulted in a $4.

5bn blow to Nvidia’s finances during its fiscal first quarter.In August, Nvidia agreed to give the US government a 15% cut of its H20 chips to China in return for export licences.China, in turn, has voiced security concerns over the chips, and is ramping up production of its own domestic alternatives.Nvidia’s chief financial officer, Colette Kress, said on the earnings call that some companies have expressed interest in purchasing H20 and an initial set of companies have received licenses to purchase the chip.Kress said that the company could ship anywhere between $2bn and $5bn of H20 chips to China if “geopolitical issues reside”.

Huang reiterated the importance of being able to operate in the China market, which he said could represent a $50bn market opportunity for the company this year,“We’re talking to the administration about the importance of American companies being able to address the Chinese market,” Huang said,He also said in addition to H20 being approved for sales in China to non-sanctioned companies, there is a potential opportunity for the company to eventually sell a version of Blackwell in the country,“It is the second largest computing market in the world, and it is also the home of AI researchers – about 50% of the world’s AI researchers are in China,” Huang said,“The vast majority of leading open source models are created in China.

It’s fairly important for the American technology companies to be able to address that market,”Monteiro, the Investing,com analyst, said: “The reality is that without the much-needed push from H20 sales in China, Nvidia simply cannot sustain the type of growth priced into its valuation,”The company is projecting $54bn in revenue in the third quarter – which is within the range of Wall Street expectations – and said the board approved $60bn in additional stock buybacks – on top of nearly $24,3bn the company returned to shareholders in the first half of the year in both stock buybacks and cash dividends.

Founder and chief executive, Jensen Huang, said production of the company’s latest AI superchip, Blackwell, is “ramping at full speed, and demand is extraordinary.“The AI race is on, and Blackwell is the platform at its center,” Huang said in a press release.Despite the initial tepid market reaction to the company’s financials, some analysts remain bullish on the so-called AI revolution, especially as major technology companies like Meta, Microsoft, Amazon and Alphabet are investing heavily in AI infrastructure.“This is further validation for Nvidia and the AI Revolution,” said the Wedbush Securities analyst, Dan Ives.“This is a very important print and guide for the broader tech world and it shows the AI Revolution is heading into its next gear of growth despite the current headwinds with China.

There is one chip in the world fueling the AI Revolution and its Nvidia … that narrative is clear from these results and the positive commentary from Jensen,” Ives said.
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USA 31-31 Australia: 2025 Women’s Rugby World Cup – as it happened

I’m not exaggerating when I say that was one of the best games of rugby I’ve ever watched.There’s a tendency to over hype the women’s game. To compensate for the unjust inequities, the blatant sexism and the years of neglect. There’s also an understandable need to focus less on results and the quality of rugby and shine a light on the stories of the individuals involved, to champion those heroes who have sacrificed so much to represent their nations.No need on this one

about 13 hours ago
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Australia and USA draw thriller to bring belated jeopardy to Rugby World Cup

Here was the captivating arm-wrestle we had been waiting for. Second place in Pool A behind England was probably on the line, and both teams gave everything in an utterly compelling match with a barely believable script.Neither deserved to lose, and if England comfortably defeat the Wallaroos next week, it should come down to points difference between these two sides for a place in the last eight. After Eva Karpani’s concluding try for Australia, Samantha Wood’s simple conversion chance could have won it five minutes from time, but she pulled it, in doing so arguably guaranteeing the right result.The precocious wing Desiree Miller and the 18-year-old full-back Caitlyn Halse both scored twice for the Wallaroos, while Freda Tafuna was credited with a hat-trick, although the No 6 said the third was scored by Hope Rogers

about 13 hours ago
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Joy for Samoa as Harmony Vatau kicks their first World Cup points for 11 years | Andy Bull

You can keep the 92 points England scored. Let’s talk about Samoa’s three. It’s been 11 years since Samoa recorded a point in a World Cup match. They didn’t qualify for the tournaments in 2017 or 2021, and they were whitewashed 73-0 by Australia in the first round of this one on the opening weekend. So Franklin’s Gardens fell awfully quiet when the team won a scrum penalty just inside England’s half in the 42nd minute, 32m out, and straight in front of the posts

about 13 hours ago
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John Mitchell demands England improve despite record World Cup win over Samoa

England’s victory over Samoa was a record Rugby World Cup win for the Red Roses but the head coach, John Mitchell, said “their basics let them down” during a period in the second half where they took their foot off the gas. The Red Roses raced to a 47-0 half-time lead but fumbled lineouts and had knock-ons which thwarted their momentum during the second half. Mitchell praised his team but said it was a task to keep up the pressure.Sign up to The BreakdownThe latest rugby union news and analysis, plus all the week's action reviewedafter newsletter promotionMitchell said: “Firstly, I thought the start was an energetic, very clinical start. I think as the game wore on and the scoreboard was building, it was always going to be this group’s challenge to stay in the process and build pressure

about 14 hours ago
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‘It’s only going to get bigger’: Australia embraces the Japanese game that turns rubbish into sport

Caitlin Cassidy competes in Australia’s World Cup spogomi qualifier, a fun event that’s really about raising environmental awareness, in ManlyIt’s Saturday morning at Manly beach and you could cut the tension with a knife.Nearly 100 people are crouched over piles of litter, frantically sorting them into coloured tote bags. A man wearing an umpire bib looms over a group beside us and blows his whistle.“Two minutes!” he calls. “Two minutes!” The team is trying to figure out if a discarded tennis racket counts as “non-burnable waste” or “bulky waste”

about 14 hours ago
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England 92-3 Samoa: Women’s Rugby World Cup 2025 – as it happened

Sarah Rendell’s match report from Northampton has just landed.With that I’ll say cheerio as I switch my attention to the Wallaroos versus Eagles clash.That was a rout from the English though Samoa showed plenty of pluck. “A David v Goliath match” as Sarah calls it. This time, David had no chance

about 15 hours ago
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Honor Magic V5 review: fantastic foldable phone that needs better Android software

3 days ago
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How Elon Musk’s billionaire Doge lieutenant took over the US’s biggest MDMA company

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Tesla sales in Europe slump 40% as BYD new car registrations more than triple

3 days ago
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Nvidia sets fresh sales record amid fears of an AI bubble and Trump’s trade wars

3 days ago
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Teen killed himself after ‘months of encouragement from ChatGPT’, lawsuit claims

4 days ago
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US parents and teachers: share your experiences of AI in schools

4 days ago