Gaming revenue is down, but Nvidia's (NVDA) stock is way up Thursday morning after the chip maker released its fourth quarter results after the closing bell Wednesday.
Strength in gaming is what used to drive the company's stock, but investors seem to see the company as a long-term play. Nvidia's gains are responsible for the bump the Nasdaq was seeing in early market trading, according to CNBC's Jim Cramer.
"I know this sounds crazy but you have to understand that Nvidia is behind this whole morning's surge in the Nasdaq ($NVDA) lots more to come," Cramer said early Thursday morning.
This tweet came after he urged "everyone who has ever bought a tech stock to listen to Nvidia's conference call tonight. I have read it twice and I still can't get my heard around it. Going for a third...."
But not everyone in Jim's threads were as impressed as he was.
Nvidia's Quarter
At least one person seemed to have also gone through the call, but came away with a very different impression of the company.
"$NVDA had nothing impressive but using big words to impress analysts. pretty anemic earnings," said one twitter user.
Another said he didn't need to listen to the conference call because the earnings numbers were showing a clear sell signal.
Another thought it preposterous to buy Nvidia at current levels.
Nvidia shares jumped Thursday after reporting earnings for the three months ending in January fell 33% from the same period last year to $0.88 per share, but that tally topped Street forecasts by around $0.07. Revenues, the chipmaker said, came in at $6.05 billion, again besting analysts' estimates.
Looking into the current quarter, Nvidia said revenues would likely rise 7.4% on a sequential basis to $6.5 billion, with gross margins expanding 80 basis points to around 64.1%.
