One of our portfolio holdings, Nvidia (NVDA) (Purchased 0.24 units @ $471.73) announced its fourth fiscal quarter earnings that exceeded estimates. Nvidia announced earnings per share of $5.16 vs $4.64 and revenue of $22.10 billion vs $20.62 billion expected. Nvidia CEO Jensen Huang responded to investors’ skepticism about the sustainability of growth. Huang said the projections for the growth seem positive due to the demand for the company’s GPUs. The demand for these GPUs is driven by generative AI. In the extended trading session, Nvidia shares increased by almost 10% following the announcements.
Amazon (AMZN) is set to join the Dow Jones Industrial Average on Monday, February 26th. The e-commerce company is replacing the pharmacy company Walgreens Boots Alliance Inc (WBA)
One of our portfolio holdings, Palo Alto Networks (PANW) (Purchased 0.2 units @ $245.03) announced earnings per share and revenue that beat estimates but lowered its 2024 guidance. Before the announcement, the company projected full-year revenue of $8.15 billion and $8.2 billion respectively, which was then updated to be $7.95 billion and $8 billion respectively. This means that before the updated version, Palo Alto was expecting a full-year growth of 16% to 17%. Which was then lowered to be 10% to 11%. Company CEO Nikesh Arora said the change in the guidance was due to a shift in ‘strategy’. Even though the company topped estimates, the market reacted negatively to this new guidance by decreasing the share price of Palo Alto by almost 30%.
The share price of SolarEdge (SEDG) decreased by almost 15% after the clean energy solutions company declared first-quarter revenue estimates of $175 million to $215 million compared to Wall Street’s $406 million expectation. The company CEO Zvi Lando stated the residential demand for solar energy is deteriorating as a result of high interest rates.
Author: Kaan Pinar