Nvidia shares fell on Wednesday as investors prepared for the company’s earnings report after the market closes today.
Nvidia shares were down 3% to around $124.50 in late morning trading after closing up 1.5% the previous day.
“We expect Nvidia to handily beat the guidance numbers it issued for the quarter and will likely provide higher revenue and growth guidance for the current quarter,” Dave Sekera, chief U.S. markets strategist at Morningstar, said in emailed comments.
“Right now, demand for their AI GPUs (graphics processing units) far exceeds the supply they can produce. They can set the price however they want and people will pay what they ask,” Sekera said.
