00:00NVIDIA, which is the world's most valuable company, reported quarterly earnings on Wednesday
00:04after the closing bell.
00:06NVIDIA beat both revenue and earnings per share forecasts, which you would think would
00:10get investors excited, but not so fast.
00:12Their estimate for the current quarter came in a little light, something people aren't
00:15accustomed to when it comes to NVIDIA.
00:17After all, NVIDIA has been heralded as the crown jewel of the AI boom because everyone
00:21needs their chips to run their computers.
00:23Heading into the report, through Wednesday's close, NVIDIA stock had soared 35% year-to-date.
00:29What that light forecast does is throw fuel on a burning question investors have had.
00:33While huge tech companies like Microsoft, Meta, and Amazon keep throwing hundreds of billions
00:37of dollars at AI initiatives powered by NVIDIA's chips, that remains to be seen.
00:42And then there's China, where the company didn't even give a forecast at all for data
00:45center revenue.
00:46NVIDIA has been stuck in the middle of the growing US-China trade tensions, effectively
00:50unable to sell its chips at all in China.
00:52The result of everything I just described?
00:54A 3% stock decline on Wednesday afternoon.
00:57As of the recording of this video, shortly after earnings came out.
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