Nvidia stock pops 9%, tops $1,000 after earnings beat forecasts, announces stock split and dividend hike
Is Nvidia's $1K Stock Surge Just the Beginning?
Nvidia's stock surged 9.3%, closing above $1,000 and reaching a market cap of over $2.5 trillion after surpassing first quarter earnings expectations. The company reported adjusted earnings per share of $6.12 on $26 billion in revenue, significantly higher than analysts' forecasts. Additionally, Nvidia announced a 10-for-1 stock split and an increased dividend, following trends set by other Big Tech companies.
What new financial strategies did Nvidia announce following the release of their first quarter earnings?
Nvidia announced a 10-for-1 stock split and an increased dividend following the release of their first quarter earnings. The stock split will make buying shares in the company more accessible for individual investors, as each common share will be split into 10 smaller shares4. The increased dividend is aimed at providing heftier quarterly payments to shareholders. These financial strategies are expected to attract more investors and boost the company's market value.
By how much did Nvidia's Data Center revenue increase year over year, and what percentage of the total revenue does this represent?
Nvidia's Data Center revenue increased by 427% year over year, reaching $22.6 billion. This amount represents 86% of the company's total revenue for the quarter5.