Nvidia’s New GPU: Impact on Stock

Nvidia $NVDA stock fell on 46% over the last three months on the back of the whole market slowdown. But even despite this, shares of $NVDA grew up on Monday, as well as shares of AMD $AMD and Micron $MU. Let’s take a look at what investors think about Nvidia to find out if Nvidia is going to rebuild after its tumble at the end of the last year. During the last Q3 earnings report, $NVDA climbed 21% but still fall short of revenue estimates. It became a disappointment, as well as the volume of the chip power’s sales of $2.7B instead of expected $3.40B. NVDA’s revenues suffered as cryptocurrency mining-based demand for its GPUs fell for the second quarter in a row.


With that said, Nvidia’s huge extension during the past three years would have made it pretty difficult to keep investors impressed. The company is still top-producer of graphics chips that help create more realistic and “alive” graphics for video games. In addition to this, Nvidia’s chips are also needed for data centers, and the company is still going to benefit from the increase of cloud computing, artificial intelligence, and machine learning. And Nvidia launched its new Turing GPUs, which CEO Jensen Huang called his company’s “most important innovation in computer graphics in more than a decade,” in 2018 after nearly two years of anticipation.


And more recently, chip giant Intel $INTC – which plans to enter the discrete GPU market in 2020 and become another competitor for NVIDIA – made it clear that it intends to support VESA Adaptive Sync with its future GPUs.

NVIDIA announced that it will test monitors that support the VESA Adaptive Sync standard. The graphics specialist says that “[those] that pass our validation tests will be [called] G-SYNC Compatible and enabled by default in the GeForce driver.”


A couple days ago, Nvidia has announced a new, mid-range RTX 2060 GPU at CES 2019, expending the company’s existing RTX 2070, RTX 2080, and RTX 2080 Ti models with an entry-level option that will cost just $349. The new GPU was revealed during the company’s CES 2019 keynote, where it was revealed that a Battlefield V ray-tracing demo wasn’t running on one of Nvidia’s existing cards, but on the new, budget option.


Considering that the next cheapest RTX card, the RTX 2070, starts at $499, it’s a pretty big step down in price – but then again, the RTX series was more expensive than GTX, to begin with. The RTX 2060 will be available January 15th for $349 and will include either a copy of Battlefield V or Anthem.

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